• Title/Summary/Keyword: Small and medium-sized enterprises

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Importance of End User's Feedback Seeking Behavior for Faithful Appropriation of Information Systems in Small and Medium Enterprises (중소기업 환경에서의 합목적적 정보시스템 활용을 위한 최종사용자 피드백 탐색행위의 중요성)

  • Shin, Young-Mee;Lee, Joo-Ryang;Lee, Ho-Geun
    • Asia pacific journal of information systems
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    • v.17 no.4
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    • pp.61-95
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    • 2007
  • Small-and-medium sized enterprises(SMEs) represent quite a large proportion of the industry as a whole in terms of the number of enterprises or employees. However researches on information system so far have focused on large companies, probably because SMEs were not so active in introducing information systems as larger enterprises. SMEs are now increasingly bringing in information systems such as ERP(Enterprise Resource Planning Systems) and some of the companies already entered the stage of ongoing use. Accordingly, researches should deal with the use of information systems by SME s operating under different conditions from large companies. This study examined factors and mechanism inducing faithful appropriation of information systems, in particular integrative systems such as ERP, in view of individuals` active feedback-seeking behavior. There are three factors expected to affect end users` feedback-seeking behavior for faithful appropriation of information systems. They are management support, peer IT champ support, and IT staff support. The main focus of the study is on how these factors affect feedback-seeking behavior and whether the feedback-seeking behavior plays the role of mediator for realizing faithful appropriation of information systems by end users. To examine the research model and the hypotheses, this study employed an empirical method based on a field survey. The survey used measurements mostly employed and verified by previous researches, while some of the measurements had gone through minor modifications for the purpose of the study. The survey respondents are individual employees of SMEs that have been using ERP for one year or longer. To prevent common method bias, Task-Technology Fit items used as the control variable were made to be answered by different respondents. In total, 127 pairs of valid questionnaires were collected and used for the analysis. The PLS(Partial Least Squares) approach to structural equation modeling(PLS-Graph v.3.0) was used as our data analysis strategy because of its ability to model both formative and reflective latent constructs under small-and medium-size samples. The analysis shows Reliability, Construct Validity and Discriminant Validity are appropriate. The path analysis results are as follows; first, the more there is peer IT champ support, the more the end user is likely to show feedback-seeking behavior(path-coefficient=0.230, t=2.28, p<0.05). In other words, if colleagues proficient in information system use recognize the importance of their help, pass on what they have found to be an effective way of using the system or correct others' misuse, ordinary end users will be able to seek feedback on the faithfulness of their appropriation of information system without hesitation, because they know the convenience of getting help. Second, management support encourages ordinary end users to seek more feedback(path-coefficient=0.271, t=3.06, p<0.01) by affecting the end users' perceived value of feedback(path-coefficient=0.401, t=6.01, p<0.01). Management support is far more influential than other factors that when the management of an SME well understands the benefit of ERP, promotes its faithful appropriation and pays attention to employees' satisfaction with the system, employees will make deliberate efforts for faithful appropriation of the system. However, the third factor, IT staff support was found not to be conducive to feedback-seeking behavior from end users(path-coefficient=0.174, t=1.83). This is partly attributable to the fundamental reason that there is little support for end users from IT staff in SMEs. Even when IT staff provides support, end users may find it less important than that from coworkers more familiar with the end users' job. Meanwhile, the more end users seek feedback and attempt to find ways of faithful appropriation of information systems, the more likely the users will be able to deploy the system according to the purpose the system was originally meant for(path-coefficient=0.35, t=2.88, p<0.01). Finally, the mediation effect analysis confirmed the mediation effect of feedback-seeking behavior. By confirming the mediation effect of feedback-seeking behavior, this study draws attention to the importance of feedback-seeking behavior that has long been overlooked in research about information system use. This study also explores the factors that promote feedback-seeking behavior which in result could affect end user`s faithful appropriation of information systems. In addition, this study provides insight about which inducements or resources SMEs should offer to promote individual users' feedback-seeking behavior when formal and sufficient support from IT staff or an outside information system provider is hardly expected. As the study results show, under the business environment of SMEs, help from skilled colleagues and the management plays a critical role. Therefore, SMEs should seriously consider how to utilize skilled peer information system users, while the management should pay keen attention to end users and support them to make the most of information systems.

The Influence of Innovative SME CEO Types on Technology Innovation Capabilities and Innovation Performance (혁신형 중소기업의 CEO유형에 따른 기술혁신 역량이 기술혁신 성과에 미치는 영향)

  • Kim, Ji-Hun
    • The Journal of the Korea Contents Association
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    • v.19 no.12
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    • pp.215-228
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    • 2019
  • This study micro-analyzed the impact of innovation capabilities on innovation performance by type of CEO, with innovative SMEs being subject to research. In addition, the impact of CEO type on innovative capabilities and the impact of innovative capabilities on innovation performance were studied together. In order to achieve the research objective, we conducted an empirical analysis of 250 innovative small and medium-sized enterprises registered in the medium-term department as research targets and the results are as follows. First, the analysis of the impact of the type of CEO on the capacity of innovation shows that market-oriented, technology-driven and consultant-type CEOs have a significant impact on the amount of technology change reduction, but managed CEOs do not see any statistically significant differences in the amount of technology change reduction areas. Managed CEOs did not see statistically significant differences in the amount of technology change-sensitive areas. In addition, it was analyzed that the current type of CEO of small businesses does not affect the R&D technology digestion capacity of technological innovation capabilities. Second, the analysis of the relationship between innovation capabilities and innovation performance did not have a statistically significant effect. Third, the analysis of the adjustment effect between the type of CEO and the capacity of innovation according to the growth stage of small businesses shows that the technology and the consultant-type CEO affect the amount of the area of technology change, but the managed and market-type CEOs did not have the adjustment effect. Fourth, the analysis of the capacity of innovation and the effect of adjustment between innovation and innovation in the growth phase of innovative SMEs did not have a statistically significant effect.

CEO's Discovery Competency for New Business Opportunity, Competitive Strategy, and Firm's Performance (경영자의 신사업기회 발견능력과 경쟁전략이 기업성과에 미치는 영향)

  • Kim, Seung Ho;Kim, Dae Geun
    • Asia-Pacific Journal of Business Venturing and Entrepreneurship
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    • v.11 no.3
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    • pp.121-130
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    • 2016
  • Amidst a competitive environment, success and innovation of a company hinge on establishment of competitive strategies through CEO's capabilities for discovering new businesses. In other words, several alternatives that are being considered as new businesses and the ensuing selection that a top management makes lead to a company's success and innovation. Examples of this are numerous among global corporations as well as Korean small and medium-sized enterprises (SMEs). This research has analyzed the role of a CEO to be a condition for success in the growth and innovation of a company. Starting from the topic of entrepreneurship, the research on the role of a CEO has been actively conducted in context with the latest innovations. A prime example involves research related to the innovativeness of a CEO. In this regard, this research was an empirical analysis on the impact that a CEO's ability to discover new business opportunities and competitive strategies has on the performance of a firm. This analysis was conducted based on nationwide data of 286 large conglomerates and smaller-sized companies alike. Based on the analysis, "experimenting" and "association", among abilities of discovery, have been found to strengthen competitive strategies. Also in the context of abilities needed for discovery, differentiation strategy has a greater effect on a firm's performance than the cost leadership strategy. Furthermore, the mediating effect of competitive strategies was prominently displayed in experimenting and corporate performance.

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The Impact of External Resources Utilization Strategies and Absorptive Capability on the Korean Small and Medium-sized Enterprises' Performance: For Electronic Components and Telecommunications Equipment Manufacturers (외부 자원 활용 전략과 흡수능력이 중소기업 성과에 미치는 영향: 전자부품, 통신 장비 업체를 대상으로)

  • Kim, Sunyoung;Lee, Byungheon
    • Journal of Technology Innovation
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    • v.24 no.1
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    • pp.1-24
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    • 2016
  • This study examined 142 electronic components, video, audio, and communications equipment manufacturers (KSIC 32) out of all the SMEs that responded to the Survey on Technology of the Small and Medium Enterprises in both 2005 and 2007 and empirically analyzed how the external resources utilization and the absorptive capability affected the management and the innovation performance in two years as well as how the absorptive capability moderated these relationships. According to the results of analysis, the external resources utilization, as measured by the technology collaboration and the governments R&D subsidies, did not have a significant impact on performance whereas R&D investment showed a positive (+) influence on the sales and R&D personnel ratio, negative (-). On the other hand, the moderating effect of absorptive capability varied by measurement method and independent variables. That is, when a technology collaboration takes place, the performance improved with the increase of R&D investment but R&D personnel ration had an opposite effect. The companies whose performance improved as the government R&D subsidies increase are those with low R&D investment or high R&D personnel ratio. These results demonstrate that the SME's external resources utilization cannot replace the internal and that the absorptive capability needs to be accumulated to maximize the effectiveness of external resources utilization. Also, the technology collaboration requires SME's aggressive investment in R&D and the government R&D subsidies turn out to be more helpful for the companies that already have the R&D personnel but have been unable to develop their own technology due to insufficient funds. This study has limitations in that it was conducted within the limited industry categories and samples, but has overcome those of the existing researches by identifying causal relationships through the use of longitudinal data.

Linking OPCE with Innovative Behavior: The Mediating Effect of Resilience (사내기업가정신을 위한 조직의 준비태세(OPCE)와 혁신행동: 회복탄력성의 매개효과)

  • Suvonova, Hulkar;Lee, Ju-yeon;Park, Taekyung
    • Korean small business review
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    • v.41 no.2
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    • pp.79-97
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    • 2019
  • This study investigates the effect of the organizational preparedness for corporate entrepreneurship(OPCE) on innovative behavior, with a focus on the mediating role of resilience. Building on literature regarding the OPCE and resilience, hypotheses are developed and tested using data collected from 217 middle managers in South Korean small and medium-sized enterprises. Results show that the OPCE has both direct and indirect effects on the consequence. Resilience is also found to be positively associated with innovative behavior. It also find that resilience mediates the relationship between OPCE and innovative behavior. These findings suggest that the perception of middle managers on OPCE contributes to developing their resilience, which in turn encourages them to act entrepreneurially. Theoretical and practical implications, limitations and suggestions for future studies are presented.

A Study on the cooperation activation among business: Focused on Leadership, Absorptive Capacity (기업 간 협업 활성화 방안에 대한 연구 : 리더십과 흡수역량을 중심으로)

  • Jeun, Hyang-Ok;Hyun, Byung-Hwang
    • Journal of the Korea Academia-Industrial cooperation Society
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    • v.17 no.10
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    • pp.189-198
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    • 2016
  • In recent years, the global financial crisis has worsened the economic environment for small and medium-sized businesses. A great number of South Korean enterprises are having various managerial difficulties, such as insufficient funds, shortage of manpower and lack of market information. To overcome these difficulties, many experts have suggested plans to encourage cooperation among small businesses, and such cooperation has provided diverse services to complement the insufficient capabilities of the individual companies. In spite of the efforts made by government to incite cooperation, however, the businesses themselves have displayed a lack of willingness to such cooperation. Cooperation requires a series of complicated and interdependent processes and, thus, governmental support alone cannot guarantee the necessary willingness to cooperate among small businesses. This research empirically analyzed how cooperative and creative leaderships influence the willingness to cooperate among corporate members. We also empirically studied how relationships among corporate members vary in accordance with their absorptive capacity.

Development of an OLAP Database System for SME Growth Support -Centering around the Small Business R&D Support Project- (중소기업성장지원 OLAP 데이터베이스 시스템 구축 -중소기업기술개발지원사업을 중심으로-)

  • Hwang, Man-Mo;Choi, In-Soo
    • Journal of the Korea Society of Computer and Information
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    • v.17 no.1
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    • pp.235-245
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    • 2012
  • The purpose of this paper is to develop an online analytical processing (OLAP) database system for small and medium-sized enterprises (SMEs) growth support. In this paper, we made a model of measuring SME size first. The model is composed of five determinants of firm growth such as employment, sales, the amount of export, own technology, and the ratio of R&D expenditure to sales. Second, we designed the FREQUENCY dimension table which will make staged support of R&D expenditure. We developed the OLAP database system by using three dimensions including the FREQUENCY dimension, and using the model of measuring SME size. Also we assessed past decisions on R&D expenditure support in the Small Business R&D Support Project by using the OLAP database system.

ICT Company Profiling Analysis and the Mechanism for Performance Creation Depending on the Type of Government Start-up Support Program (정부창업지원 프로그램 참여에 따른 ICT 기업 프로파일링과 성과창출 메커니즘)

  • Ha, Sangjip;Park, Do-Hyung
    • Journal of Intelligence and Information Systems
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    • v.28 no.3
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    • pp.237-258
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    • 2022
  • As the global market environment changes, the domestic ICT industry has a growing influence on the world economy. This industry is regarded as an important driving force in the national economy from a technological and social point of view. In particular, small and medium-sized enterprises (SMEs) in the ICT industry are regarded as essential actors of domestic economic development in terms of company diversity, technology development and job creation. However, since it is small compared to large-sized enterprises, it is difficult for SMEs to survive with a differentiated strategy in an incomplete and rapidly changing environment. Therefore, SMEs must make a lot of efforts to improve their own capabilities, and the government needs to provide the desirable help suitable for corporate internal resources so that they can continue to be competitive. This study classifies the types of ICT SMEs participating in government support programs, and analyzes the relationship between resources and performance creation of each type. The data from the "ICT Small and Medium Enterprises Survey" conducted annually by the Ministry of Science and ICT was used. In the first stage, ICT SMEs were clustered based on common factors according to their experiences with government support programs. Three clusters were meaningfully classified, and each cluster was named "active participation type," "initial support type," and "soloist type." As a second step, this study compared the characteristics of each cluster through profiling analysis for each cluster. The third step carried out in this study was to find out the mechanism of R&D performance creation for each cluster through regression analysis. Different factors affected performance creation for each cluster, and the magnitude of the influence was also different. Specifically, for "active participation type", "current manpower", "technology competitiveness", and "R&D investment in the previous year" were found to be important factors in creating R&D performance. "Initial support type" was identified as "whether or not a dedicated R&D organization exists", "R&D investment amount in the previous year", "Ratio of sales to large companies", and "Ratio of vendors supplied to large companies" contributed to the performance. Lastly, in the case of "soloist type", "current workforce" and "future recruitment plan", "technological competitiveness", "R&D investment", "large company sales ratio", and "overseas sales ratio" showed a significant relationship with the performance. This study has practical implications of showing what strategy should be established when supporting SMEs in the future according to the government's participation in the startup program and providing a guide on what kind of support should be provided.

The Effects of Smart Factory Technologies on Quality and Innovation Performance in SMEs (중소벤처기업의 스마트팩토리 기술적용이 품질과 혁신성과에 미치는 영향)

  • Lee, Rok;Kim, Chae Soo
    • Asia-Pacific Journal of Business Venturing and Entrepreneurship
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    • v.15 no.3
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    • pp.59-71
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    • 2020
  • This study is empirically intended to look into the effects of smart factory technologies on quality and innovation performance in small and medium-sized Enterprises(SMEs). The research results are as follows. Device and application technologies for smart factory had a positive effect on the information quality and system quality, while platform technologies had an insignificant effect on the information quality and system quality, rejecting the effect of platform technologies for smart factory on information quality and system quality. Device technologies for smart factory had also a significant effect on innovative performance, while platform and application technologies had an insignificant effect on innovative performance, rejecting the effect of platform and application technologies for smart factory on innovative performance. The system quality had a significant effect on innovative performance, while the information quality had an insignificant effect on innovative performance. The quality played a partial mediating role in the effect of device technologies for smart factory on innovative performance. These results indicate that small and medium-sized venture firms should implement a high standard of information quality management(IQM) through interconnection as the kernel of a smart factory in the 4th revolutionary era, and that they can improve their corporate performance through the interlocking between components from manufacturing design to execution and analysis and the integrated management of systematic information collected from devices if necessary.

Structural Relationships among Perceived Organization Support, Work Engagement and Turnover Intention Focusing on Workers in Small and Medium Sized Companies: Conditional Direct/Indirect Effects by Participating in Work and Learning Dual System (중소기업 근로자의 조직지원인식, 업무몰입, 이직의도 간의 구조적 관계: 일학습병행 참여에 따른 조건부 직·간접 효과)

  • Kim, Woocheol;Kang, Wonseok;Jo, Hyunjeong
    • Journal of Practical Engineering Education
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    • v.12 no.1
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    • pp.127-144
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    • 2020
  • This study aims to examine the relationship between perceived organizational support (POS), work engagement (WE), and turnover intention (TI) among employees of small and medium-sized enterprises (SMEs) characterized by whether or not to participate in the work-learning dual system (WLDS). Also, this study intends to explore the effectiveness of WLDS by examining significant differences between the two groups. To achieve the purpose of this study, we have conducted surveys between August and December in 2018. A total of 616 cases (321 cases from SMEs participating in WLDS and 295 cases from general SMEs) were finally selected and used for data analysis with structural equation modeling (SEM). Results of the study revealed that POS had a significant and positive effect on WE. Also, POS had a significant and negative effect on TI. In addition, the mediating effect of WE in the relationship between POS and TI was found to be statistically significant. Furthermore, the results revealed that the conditional indirect effect between POS and TI depending on participation in WLDS was statistically significant. However, the conditional direct effect between POS and TI due to WLDS participation was not statistically significant. Based on the results, academic and practical implications were discussed.