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Theses and dissertations (Management Sciences)

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    Role of buyer-supplier relationship on organisational performance of small medium and micro enterprise retailers in Durban
    (2022-09-06) Nzama, Manqoba Lwazi; Olugbara, Oludayo O.; Moyane, Smangele Pretty
    Buyer-supplier relationship plays a huge role in the running of an almost flawless supply chain, being responsible for the efficient supply of goods, services, and information across the entire supply chain. Organisations are faced with pressure to improve their competitive advantage and market share. In that regard, to improve organisational performance, the question arises whether to have a transactional relationship with many suppliers or have a collaborative relationship with a smaller number of suppliers. The research study aimed to examine the role that buyer-supplier relationship plays on organisational performance in the SMME retail industry in Durban. The study objectives were to ascertain the type of a relationship SMME retailers have with their suppliers, establish the influence of inter-organisational factors: trust, satisfaction, information sharing, commitment, and loyalty on the existing buyer-supplier relationships, and determine the implications of the existing buyer-supplier relationships on the organisational performance of SMME retailers. The study tested the following hypotheses: • H1: There is a significant relationship between supplier information sharing and supplier organisational performance. • H2: There is a significant relationship between buyer satisfaction and supplier information sharing. • H3: There is a significant relationship between buyer satisfaction and buyer loyalty. • H4: There is a significant relationship between buyer loyalty and supplier information sharing. • H5: Buyer trust moderates the relationship between supplier information sharing and supplier organisational performance. • H6: Supplier commitment moderates the relationship between supplier information sharing and supplier organisational performance. The study adopted a conceptual framework grounded on two major theoretical standpoints: transaction cost economics and social exchange theory. Within a survey research design, a crosssectional time horizon was employed to obtain the overall picture of the relationship between buyer-supplier relationship and organisational performance. The study targeted 1320 Durban based SMME retailers as per yellow pages of 2019. The sample were 591 SMME retailers that are selected at a 95% level of confidence with a plus or minus 3 margin of error and analysed using structural equation modelling which offers a universal and appropriate framework for statistical analysis including several multivariate procedures that are traditional, a confirmatory factor analysis will be used as the study has several independent variables which are correlated and an intervening variable. The study found that three out of the six hypotheses articulated to be able to accomplish the studies aim were analytically supported and accepted. A conclusion can therefore be made that information sharing between SMME retailers and their suppliers has a role of enhancing the harmonious collaboration as well as trust, loyalty, commitment, and satisfaction that exists amongst these partnerships. Buyer-supplier relationship between SMME retailers and their suppliers will in turn have a huge role in improving supplier organisational performance for these suppliers. The study recommended that SMME retailers should make use of fewer suppliers with collaborative relationships in order to improve organisational performance.
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    The relationship between entrepreneurial orientation, organisational orientation and innovation performance of manufacturing small and medium enterprises in KwaZulu-Natal province
    (2019-03-24) Kankisingi, Gustave Mungeni; Dhliwayo, Shepherd
    This study was conducted to investigate the relationship between entrepreneurial orientation, organisational orientation, and innovation performance of manufacturing small and medium enterprises (SMEs) in KwaZulu Natal province. To instil innovation culture, an organisational architecture of SMEs should accommodate both organisational and entrepreneurial factors in order to create a synergy that is likely to achieve innovation objectives of SMEs. The empirical investigation was based on a quantitative study and used a cross-sectional survey design to collect data from owner-managers of 308 small and medium firms in the manufacturing sector. The provincial SMEs database from the Kwa-Zulu Natal Department of Economic Development and Tourism was used and it contained an estimate population of 1255 SMEs. This study found that there was a positive and significant correlation between entrepreneurial orientation and organisational orientation dimensions. It further established that organisational and entrepreneurial dimensions were correlated with innovation performance dimensions in the SMEs. An aptly entrepreneurial orientation is proven to be grounded in a related organisational orientation. This implies that an organisational strategy, its culture, structure, systems and the management style in SMEs strengthen the entrepreneurial strategy leading to improvements in the standard of the product, the process, the market position and the business model of SMEs. In the same context, other organisational factors such as available rewards, SMEs’ age, size and ownership provided another dimension and an insight into the innovation performance of SMEs. Based on the findings, the researcher suggests two models: the proximity model of the correlation between entrepreneurial orientation and organisational orientation and the new model of innovation performance for SMEs. The managerial implication is that the success of an entrepreneurial strategy of an SME is rooted into organisational orientation dimensions: culture, structure, strategy, systems and management style of owner-managers. However, an organisational orientation is proven to be driven by a mindset which, if entrepreneurial, leads to an entrepreneurial orientation and consequently achieve an innovation performance of SMEs. With such variables, the study recommends new approaches in line with the suggested models in support of manufacturing SMEs and the manufacturing sector in terms of managerial decision-making about firms’ innovation performance and competitiveness at organisational and sectorial levels.
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    A study measuring the relationship between informal sector entrepreneurial activity and firm performance
    (2019-04) Napwanya, Tinashe Robson; Chinyamurindi, Willie Tafadzwa
    T he in f orm a l secto r , whi ch i s one of the m a jo r d r i ve r s of the c ount r y ’ s eco nomy i s not pe r f orm in g t o i t s f u l l poten t ia l ( W ebb, Bu r t on, T ihan y i and I re land 2013 ; L ekhan ya 2015 ) . En t r epr eneu rsh ip , cu r rent l y th e m a jo r se gm ent of the in f o rm a l s ect or i s no t f l o ur i s h in g a s en v i sa ged. T h i s s tud y sough t to e xp lo re i nf orm a l se cto r ent rep ren eu r ia l a ct i v i t ie s / bu s in es s o wne rs h ip wi th th e hope of recom m end in g wa ys in whi ch the se cto r can be enha nced . T he stu d y in ve st iga ted whe the r cu l tu re of en t re pre neu rsh ip , a cce ss to f inan ce, ent rep ren eu r ia l edu cat ion / s k i l l s and go ve rnm en t suppo r t p red i ct f i rm pe r f orm an ce ( f inan c i a l and subj ec t i ve ) . T he stud y ad op ted a qua nt i tat i ve app roa ch . D ata wa s co l l ect ed f rom a pu rpo s i ve s am pl e b y m ean s of a s e l f - adm in i ste red que st ionna i re and was an a l ysed th rou gh Pea rson co r re la t ion and s im p le l inea r r e gres s ion ( SL R ) . T he f in d in gs of th i s s tud y af ter dat a ana l yses h i gh l i ghted ke y a rea s th at re qu i re in t er vent ion . T he s tud y f ound tha t the adop t io n of an ent rep reneur sh ip cu l tu re , and e nt rep reneu r ia l edu cat ion and s k i l l s, s i gn i f i cant l y pr edi ct s the f i rm ’ s f ina nc ia l and sub je ct i ve pe r f orm an ce. Fu r th er m o re , i t wa s f ound th at go ve rnm ent and in cubat ion sup por t p red i c t a f i rm ’ s f inan c ia l p erf o rman ce. Ho we ve r , i t was a l s o estab l i she d that go ve rnm ent an d i nc u bat ion suppor t ha d no un i que cont r ibut ion to wa rd s non - f inan c ia l p erf o rm ance of the f i rm . T he stud y f urt her e stab l i shed tha t a cce ss to f i nance has no un i que cont r ibut ion to wa rd s f inan c ia l and non - f inan c i a l pe r f orm an ce of the f i rm . W i th the abo ve f ind in gs, i f ent rep reneu r s a re to f l our i sh, a l l s oc ie ta l f acet s ha ve ro le s to p la y t o im pro ve the en t re pre neu r i a l en v i ro nm ent . F i rm o wne r s/ m ana ge r s a re ad v i sed to pu rs ue en t re pre neu r i a l / bu s in es s educ at ion f or them to ef f ecti ve l y m ana ge th e i r f i rm s. Mo reo ve r , the go ve rnm ent and f inanc ia l in st i tut ion s s hou ld wo rk to ge the r in im p ro v i n g f inan c ia l opt ion s f or sm a l l , m i c ro and m edi um ente rp r i se s ( S M MEs ) . F or the Sou th Af r i c an go ve rnm ent to i m pr o ve en t re preneu r ia l ac t i v i t ie s i t shou ld ef f ecti ve l y d i s sem inat e in f orm at ion abou t i t s p ro gram m es to the pub l i c t o ensu re th at both in f orm a l and f orm a l ent rep rene ur s a re we l l in f o rm ed.
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    Impact of trade and economic liberalisation policy reforms on the operations of selected small to medium enterprises (SMEs) in Zimbabwe : a comparative study with South Africa's experiences
    (2015-01-15) Chingwaru, Trymore; De Beer, Marie; Zondo, Robert Dumisani
    The study assesses the impact of trade and economic liberalisation policy reforms on the operations of selected manufacturing small to medium enterprises (SMEs) in Zimbabwe, and then compares the findings with experiences from South Africa’s SMEs. Motivation for the study was premised on two fronts. Zimbabwe and South Africa are currently faced with high unemployment rates (80% for Zimbabwe and 25% for South Africa). It therefore follows that job creation and poverty alleviation are the two pressing challenges facing the governments of Zimbabwe and South Africa. Secondly, the governments of Zimbabwe and South Africa have identified SMEs as the engines of economic growth with a special focus on addressing the twin challenges of unemployment and poverty alleviation. The roles and hopes bestowed on SMEs calls for a thriving and vibrant SME sector. On the other hand the adoption of trade liberalisation policies in the two countries has led some analysts to cast doubts on the ability of SMEs to withstand the fierce competition from established Multi-National Corporations and cheap imports. Employing a combined qualitative-quantitative approach, the study finds that trade and economic liberalisation policy had a negative impact on the operations of manufacturing small to medium enterprises in both Zimbabwe and South Africa. Cash-strapped SMEs have been strangled by resource-rich Multi-National Corporations. So dire is the situation that in the absence of significant government intervention, SMEs face an uncertain future. Compounding the matter is the fact that most SMEs in two countries are not involved in exports due to lack of knowledge and resources. The innovativeness ability of most SMEs remains very low. The study does not find significant differences on the impact of trade liberalisation policy reforms between SMEs in Zimbabwe and those in South Africa. It is recommended that the governments of Zimbabwe and South Africa need to introduce incentives to encourage SMEs to export and thus employ more people. Governments in Zimbabwe and South Africa need to factor in the transfer of technology to SMEs as one of the clauses when they negotiate the entry conditions of MNCs. In addition, the governments in Zimbabwe and South Africa must reintroduce tariffs in certain critical sectors of the economy to curtail cheap imports. It is cautioned that failure to protect SMEs could jeopardise the survival of most SMEs in Zimbabwe and South Africa, translating into increased unemployment, poverty and unequal wealth distribution.
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    A guide for assessing small businesses
    (2008) Moodley, Sally; Raap, Peter John
    It is estimated, that 90% of small businesses in South Africa fail within the first two years of their operation. The South African Government has improved business support services to small businesses. However, it has called on all South Africans to become involved in supporting small businesses and not to leave this responsibility to a single role player. Improving individual entrepreneurial capabilities should therefore be a focus area for all stakeholders involved in the promotion of entrepreneurship in South Africa. Changes brought on by growth, competition and many other factors, frequently require businesses to quickly identify alternatives, for driving significant improvements in their businesses. Business assessment tools generally provide a framework to assist business leaders to review the operations of their businesses. It was against this background that this research study was undertaken. The main aim of this research study was to develop a guide which can be used to assess small businesses. This study identified and evaluated six business diagnostic tools currently used nationally and internationally. The information gathered from evaluating these assessment tools were verified through discussions with five expert business practitioners who have relevant experience and knowledge on assessment tools. A self – assessment can be defined as a comprehensive, systematic and regular review of an organization‟s activities and results. Of the six assessment tools evaluated, it was found that the Baldrige Quality Programme, best satisfied the research questions, in terms of applicability of content, procedures and effective administration of diagnostic tools. The guide for self - assessments for small businesses was therefore, developed by using the Baldrige Quality Programme as a benchmark. This research study demonstrated, by means of an exploratory case study methodology, that self - assessment diagnostic tools do have a critical role to play in improving entrepreneurial and organizational performance of small businesses. Through the use of the self - assessment guide, developed in this study, entrepreneurs have an opportunity to take an integrated approach towards the improvement of business leadership, management and general business capabilities. This self - assessment guide fully involves the small business owner in the planning, implementation and monitoring phases of operating his or her business. There is also an element of skills transfer designed into the administration aspects of the tool, as guidelines are included in the tool, where possible. The researcher strongly feels that the use of this self - assessment tool can contribute to enhancing the success rate of small businesses in South Africa.
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    The ability of the South African Small Medium Enterprise Development Programme to promote economic growth and employment
    (2008) Jessup, Dylan; Myburgh, Cornelius; Raap, Peter John
    The ability of the South African Small Medium Enterprise Development Programme to promote economic growth and employment. The Department of Trade and Industry (DTI) offers the Small Medium Enterprise Development Programme (SMEDP) incentive grant programme to qualifying manufacturers in South Africa. The status of the progress of this incentive grant programme is unknown. The DTI alluded to an impact study in the 2004 DTI Annual Report but no further reference or publication of results of the impact study has been made. The objectives of the study are to investigate the following three criteria of the SMEDP and to develop benchmarks and recommendations for future incentive grants offered by the DTI. • Rationale for implementation of SMEDP; • Exploration of SMEDP merits; and • Measure of SMEDP success. The study is a secondary analysis design with both qualitative and quantitative components. The qualitative component allows the researcher to reflect on the process by which the incentive programme under investigation came into being, whilst the quantitative component allows for comment on the result of the process as per the markers developed in the qualitative component of the design. There were 152 sample cases used in the study. The outcome measures are the output measures stated in the Medium Term Strategic Plan which are: • The number of jobs sustained. v i • The number of jobs created. • The number of Greenfield’s projects supported. • The fixed investment in Rand terms. • The improvement in employment levels. The DTI achieved certain of the stated objectives. The empirical data analysed confirms the achievement of these objectives. There is scope for further empirical investigation for the future development of incentive grants. The contribution of the SMEDP to economic growth and employment growth is evident and such government interventions should be continued. The recommendations from the study include further investigation into the following areas to improve the benefits provided by manufacturing incentive programmes: • Limit the incentive to a specified Rand value per job created; • Volume driven turnover growth not price driven turnover growth; • The continued inclusion of expansions in future programme; and • Specified sector programmes i.e. textile sector.