Blog List

Thursday, 26 May 2016

Sustaining SMEs Wood-based Product Manufacturing through Best Practices – The Case of Indigenous Entrepreneurs in Kelantan

21 February 2014, Vol115.:221234doi:10.1016/j.sbspro.2014.02.430
The 5th Indonesia International Conference on Innovation, Entrepreneurship, and Small Business (IICIES 2013)


Title
Sustaining SMEs Wood-based Product Manufacturing through Best Practices – The Case of Indigenous Entrepreneurs in Kelantan 

Author 
  • Tuan Mohd Rosli Tuan Hassan a
  • Mohd Rafi Yaacob b
  • Nik Kamaruzaman Abdullatiff c
    • aUniversity Technology Mara Kelantan, Malaysia
    • bUniversity Malaysia Kelantan (UMK),Malaysia
    • cUniversity Technology MARA (UiTM), Kelantan, Malaysia
    Abstract

    Due to stiff competition, only a small number of indigenous or Bumiputera SMEs manufacturing entrepreneurs are able to sustain in wood-based products in Malaysia. Therefore, this paper investigates on what and how sustaining entrepreneurs practicing their best in managing firm resources. The Resource-based View theory is used as a underpinning of the study. This study used qualitative research approach where a score of successful entrepreneurs in wood-based products throughout the state of Kelantan were approached and interviewed. The state of Kelantan was chosen not only because it has one of the highest percentages of indigenous entrepreneurs in the industry, but also due to the reason that it is a well-known state for its entrepreneurship. All transcripts of interviews were analyzed by using qualitative software - Nvivo 9. The study found that successful indigenous entrepreneurs in the said industry employed the best practices or strategies which suit to customer interests such as the ability to produce quality products, offer reasonable prices, good customer services, time factors, and a good networking especially with families, suppliers and government agencies. Based on the results, this paper suggested several recommendations that can help indigenous entrepreneurs in wood-based products to sustain and improve their current practices.

    Keywords
    References
      • Apibunyopas and Songmuang, 2007
      • Apibunyopas, P., and Songmuang, D. (2007). Thai SME's Critical Success Factors: A Case Study of ABC Furniture Company Limited. Retrieved Sept. 12, 2010 from http://ibacnet.org/bai2007/proceedings/Papers/2007BAI7247.doc.
      • Amanda and Ashok, 2002
      • Amanda, J.D. and Ashok, K.K. (2002). Manufacturing best practice and performance studies: A Critique. International of Operation & Production Management. Vol.22, No.3, pp.289-305.
      • Amoako-Gyampah and dan Acquaah, 2008
      • Amoako-Gyampah, K. dan Acquaah, M. (2008). Manufacturing strategy, competitive strategy and firm performance: An empirical study in a developing economy environment. International Journal of Production Economics, 111 (2), 575-592.
      • Beaumont, 2005
      • Beaumont, N., (2005) Best Practice in Australian manufacturing sites Technovation 25 (2005) 1291-1297, www.elsevier.com/locate/technovation.
      • Avella et al., 2001
      • Avella, L., Fernandez, E., & Vazquez,C.J., (2001). Analysis of manufacturing strategy an as explanatory factor of competitiveness in the large Spanish Industrial firm. International Journal of Production Economics, 72(2), 139-157.
      • Barney, 1991
      • Barney J. (1991). Firm Resources and Sustained Competitive Advantage, Journal of Management, 17(1), 99-120.
      • Black and Boal, 1994
      • Black, J.A. & Boal, K.B. (1994). Strategic Resources: Traits, configurations and path to sustainable competitive advantage. Strategic Management Jurnal, 15, 131-148.
      • Barney, 2002
      • Barney J. B. (2002). Gaining and sustaining Competitive Advantage. Pearson Education Inc., NJ. Pp600.
      • Chandler and Jansen, 1992
      • Chandler, G.N., Jansen, E., 1992. The founder's self-assessed competence and venture performance. Journal of Business Venturing 7, 223-236. Christensen, P.S., Madsen, O.O., Peterson, R.,;1; 1989. Opportunity Identification.
      • Doll et al., 1997
      • Doll and Vonderembse, M in Kooufteros, X.,Vonderembse, M, and Doll,W., (1997) “Developing of Measure Time-based Manufacturing”, Journal Operation Management.16-(1998), 21-41.
      • Firdaus et al., 2009
      • Firdaus, A., Jamil, H., Abdul Rahman, D., Gluma, S., and Abg Zainoren A. A. (2009). Developing a framework of success of Bumiputera entrepreneurs. Journal of Enterprising Communities: People and Places in the Global Economy, 3 (1), 8-24.
      • Flynn et al., 1999
      • Flynn, B.D., Schroeder, R.G. and Flynn E. J. (1999). World class manufacturing: An investigation of Hayes and wheelwright's foundation. Journal of Operations Management, 17 (3), 249-269.
      • Furniture Today, 2010
      • Furniture Today (2010). The Weekly Business Newspaper of the Furniture Industry. Retrieved on 10 August 2010 from http://www.furnituretoday.com/channel/Business_News.php.
      • Grant, 1991
      • Grant, R.M. (1991). The resource-based theory of competitive advantage: implications for strategy formulation. California Management Review, 33 (3), 114-135.
      • Hayes et al., 1988
      • Hayes, R., Wheelwright, S. Clarke (1988), in Kooufteros, X., Vonderembse, M, and Doll, W., (1997) “Developing of Measure Time-based Manufacturing”, Journal Operation Management.16-(1998), 21-41.
      • Henry Quesada-Pineda and Rado Gazo, 2007
      • Henry Quesada-Pineda, Rado Gazo (2007) Benchmarking: An International Journal, Emerald Article: Best manufacturing practices and their linkage to top-performing companies in the US furniture industry. Benchmarking: An International Journal, Vol. 14 Iss: 2 pp. 211-221.
      • Howell et al., 1993
      • Howell, Llewellyn, Palmer, Ronald, (1993), Journal of Northeast Asian Studies;Winter93, Vol. 12 Issue 4, p42.
      • Johnson, 2010
      • Johnson, P.D. (2010). Entrepreneurial Success: An Integrative Study of Team Climate for Innovation, Group Regulatory Focus, Innovation Performance, and Success Thesis for Phd, College of the Oklahoma State University.
      • Ketsaraporn and Tian, 2012
      • Ketsaraporn,S. and Tian, Z (2012) Best Practices in Rubber Wood Process Industrial in Thailand Competitiveness. Interdisciplinary Journal Of Contemporary Research In Business, © 2012 Institute of Interdisciplinary Business Research 21 JULY 2012 VOL 4, NO 3.
      • MFPC, 2010
      • MFPC (2010). Malaysian Furniture Promotion Council Webpage. Retrieved on 10 August 2010 from http://www.mfpc.com.my/index.php?option=com_bulletin&itemid=44.
      • McClelland, 1961
      • McClelland, D.C., (1961), The Achieving Society. Van Nostrand Co, Princeton, NJ. Mohd Khiruddin, H.;1; (2000). A proposed strategic framework for SMEs success. Malaysian Management Review. 35 (2). 32-43.
      • Aminul Islam et al., 8119
      • Aminul Islam, Khan, Obaidullah, Alam, (2011), Small and Medium Enterprises (SMEs) in Bangladesh. International Journal of Business and Management ISSN 1833-3850 (Print) ISSN 1833-8119 (Online).
      • Musa, 2004
      • Musa, A. (2004) Ucapan Perasmian Sempena Majlis Persmian Karnival Jualan Perabot Bumiputera di Ruang Legar Kompleks Karamusang, Kota Kinabalu, Sabah in Fadzlin, P., Razali, A.A. and Norzanah, M.N. (2008). The Dilemma of Bumiputera Furniture Entrepreneurs.
      • Osirim, 1990
      • Osirim, M.J. (1990). Characteristics of Entrepreneurship in Nigerian Industries That Started Small, PhD dissertation, Harvard University, United States – Massachusetts. Retrieved August 10, 2010 from Dissertations and Theses: Full Text. (Publication No. AAT 9035529.
      • Penrose, 1959
      • Penrose, E.T. (1959). The Theory of Growth of the Firm. London: Basil Blackwell.
      • Peteraf, 1993
      • Peteraf, M.A. (1993). The cornerstones of competitive advantage: A resource-based view. Strategic Management Journal, 14 (3), 179-191.
      • Portal Rasmi and Unit Perancangan Ekonomi, 2004
      • Portal Rasmi, Unit Perancangan Ekonomi . (2011) (http://www.epu.gov.my/new economicpolicy) diakses pada 7 Jun 2011. Quesada, H. 2004. Competitiveness of the U.S. Furniture Industry. Ph.D. diss. Purdue Univ., West Lafayette, IN.
      • Quesada and Gazo, 2007
      • Quesada, H.J. and Gazo, R. (2007). Methodology for Determining Key Internal Business Processes Based on Critical Success Factors: A case Study in Furniture Industry, Journal of Business Process Management, Vol 13, No 1, pp 5-20.
      • Raduan et al., 2009
      • Raduan, C.R., Jegak, U., Haslinda, A. and Alimin, I.I. (2009). A conceptual framework, of the relationship between organizational resources, capabilities, systems, competitive advantage and performance. Research Journal of International Studies, 12, 45-59.
      • Raduan et al., 2010
      • Raduan, C.R., Jegak, U., Haslinda, A. and Alimin, I.I. (2010): A Review On The Relationship Between Organization Resources, Competitive Advantages, And Performance, Journal of International Social Research Vol.3/11.
      • Shiferaw., 2009
      • Shiferaw.A (2009), Survival of Private Sector Manufacturing Establishment in Africa: The Role of Productivity and Ownership. ELSAVIER, World Development Vol.37, N0.3, pp.572-584.
      • Vickery et al., 1997
      • Vickery, S.K., Droge, C. and Markland, R.E. (1997). Dimensions of manufacturing strength in the furniture industry. Journal of Operations Management, 15, 317-330.
      • Watson et al., 1998
      • Watson, K., Horgarth-Scott, S., & Wilson, N. (1998). Small business start-ups: Success factors and Support Implication. Journal Of Entrepreneurial Behaviour And Research, 4(3), 217-238.
      • Wernerfelt, 1984a
      • Wernerfelt, B. (1984). A Resource Based View Of The Firm. Strategic Management Journal, 5 (171-180).
      • Ward and Duray, 2000
      • Ward, P.T. and Duray, R. (2000). Manufacturing Strategy in context: environment, competitive strategy and manufacturing strategy. Journal of Operations Management, 18, 123-138.
      • Wernerfelt, 1984b
      • Wernerfelt, B. (1984). A Resource Based View Of The Firm. Strategic Management Journal, 5 (171-180).
      • Wu, 2009
      • Wu (2009), A Competency-based Model For Success of An Entreprenuer Start-up, Issue 6, Vol 6, WSEAS Transaction Of Business And Economics, Jun.
      • Yusof and Aspinwall, 2000
      • Yusof, S.M. and Aspinwall, E.M. (2000). “Critical Success Factors in Small and Medium Enterprises: Survey Results”, Total Quality Management & Business Excellence, 11:4, 448-462.

    For further details log on website :

    http://www.sciencedirect.com/science/article/pii/S1877042814019788

    No comments:

    Post a Comment

    Advantages and Disadvantages of Fasting for Runners

    Author BY   ANDREA CESPEDES  Food is fuel, especially for serious runners who need a lot of energy. It may seem counterintuiti...