It's a small world:managing human resources in small businesses

It has become widely acknowledged that, during the past decade or so, large mainstream companies in the UK have adopted a new agenda for managing people. Relatively little is known about the impact of this new agenda on small businesses. The small business sector has been long regarded as the natural home for ‘bleak house’ employment relations practices typified by direct management control, poor terms and conditions, high staff turnover and little training. In March 1993, however, a large survey of 560 companies in Leicestershire revealed a surprisingly high take-up and awareness of new management ideas among small business managers. These findings are at odds with a crude ‘bleak house’ scenario. This large-scale telephone survey was then followed up with detailed case study research. This article presents and reflects upon the evidence and reformulates ideas about people management in small businesses.     

The ‘greening’ of tourism micro‐businesses: outcomes of focus group investigations in South East Cornwall

The response of micro‐businesses to sustainability issues, and their use of environmental management tools and systems, are often presented as simply scaled‐down versions of those of larger businesses in the small and medium‐sized enterprise (SME) sector as a whole. This paper presents the findings of a series of focus groups with the owners of tourism micro‐businesses in South East Cornwall about their awareness, understanding and adoption of sustainable tourism practices. The results reveal a complex and diverse response to the concept that resists such generalizations. A genuine need for measures to increase awareness and integrate sustainability issues within business practice is highlighted. Initiatives that do not account for the heterogeneity of the sector are likely to have only limited success. Copyright © 2003 John Wiley & Sons, Ltd. and ERP Environment.     

Perceived Environmental Uncertainty: The Extension of Miller's Scale to the Natural Environment

Large businesses are professionalizing their approach to environmental management, in pursuit of quality management, cost effective eco-efficiency and regulatory compliance. However, recent evidence suggests that business corporations are not integrating the natural environment into their strategic thinking. One of the major reasons for this is the contingent relationship between perceived uncertainty in the business environment and strategic decision making. This paper describes the development and testing of a Perceived Environmental Uncertainty (PEU) measurement scale for the natural environment. The new PEU scale is based on Miller's (1993) PEU scale for the commercial environment and grounded in the environmental management theory. It is also shown to possess very good reliability and dimensionality. The new PEU scale was applied in the form of self-report questionnaire. Respondents were senior executives (n = 198) from the UK textile industry. We specifically looked for variations in levels of executives' PEU along the industry supply chain. As a result of applying the new scale, our findings show that the natural environment presents significantly higher levels of PEU for executives in the textile making-up/retail sector. The major cause of uncertainty for the textile making-up/retail sector is that firms in this sector are at the end of the supply chain and therefore exposed to up-stream risk, which is often very difficult to manage.     

Reciprocated community support and small town - small business success

This paper presents an empirical test of the significance of reciprocated community support, in contrast with traditional economic factors and unilateral support, in the success of small businesses in small towns. The central hypothesis is that entrepreneurs who make non-market contributions to their community and whose community supports them, are more likely to consider their businesses to be successful. Logistic regression is used to analyse survey data from over 800 small businesses in 30 small towns of the state of Iowa (USA). The authors found that the interaction effect of an entrepreneur's service to the community, reciprocated by community support of the business, is the single most significant determinant of business success among dozens of indicators and characteristics of the respondent, the business, and the small towns in the sample. In addition, it was found that business people who feel successful expect to expand. These findings are relevant to rural development. The expansion of existing businesses is an important component of regional job growth.     

Engaging Hong Kong businesses in environmental change: drivers and barriers

Hong Kong's businesses have been slow to embrace environmental management principles, particularly in the SME sector. This article analyses key barriers and incentives to engaging Hong Kong businesses with voluntary environmental initiatives and compares their relevance for companies of different sizes. As in other countries, SMEs show a much lower uptake of such activities than larger companies. Their approach towards environmental management is predominantly reactive, and legislation remains the key driver for engaging them with environmental change. Inadequate government policy and support, societal attitudes and corporate culture all contribute significantly to the comparatively poor development of corporate environmental management among Hong Kong companies. As long as most SMEs regard voluntary environmental activities as costly and unnecessary ‘extras’ that endanger their competitiveness and detract resources from their core business without offering any tangible benefits, fundamental improvements in their environmental performance will be difficult to achieve. Copyright © 2006 John Wiley & Sons, Ltd and ERP Environment.     

Entrepreneurship and diversification on English farms: Identifying business enterprise characteristics and change processes

Despite the growing importance attached to entrepreneurship as a policy concept in European Union (EU) agriculture, little assessment has been made of its practical application. This paper makes a preliminary consideration of the issues in relation to on-farm diversification. First the literatures on agricultural diversification and innovation are reviewed to establish entrepreneurial traits in (1) business change processes, and (2) business enterprise characteristics. The business enterprise characteristics are then used to identify entrepreneurial diversified businesses from a sample of 118 agricultural enterprises in England. Some 15 entrepreneurial farm businesses were identified and their managers interviewed to reflect on the underlying change processes that they had adopted during 1997–2001; the effects of diversification in terms of socio-economic benefits at business and regional levels; and the effectiveness of agricultural business advice services in supporting entrepreneurial behaviour. Respondents confirmed the importance of networking processes to managing change in their businesses. Importantly all had benefited from diversification, through increased net income, reduced dependence on agricultural subsidies and greater income stability during the survey period. Regional economic benefits were more difficult to quantify, although positive employment generating effects were evident among businesses. Importantly respondents commented on their disengagement from sectoral extension agencies in contrast to their enthusiastic use of generic business support. Consequently, consideration is made of adjustments in extension and advisory provision to enhance on-farm entrepreneurial diversification.     

Business associations and their potential contribution to the competitiveness of SMEs

This paper examines the relations between small and medium sized enterprises (SMEs) and business associations. It identifies sectoral, local and national dimensions and reports survey results in Britain that evidence the range of services supplied and demanded. The paper reviews the theoretical understanding of how associations operate and how they can be expected to relate to their SME members. Using this framework the paper then assesses, largely using new survey evidence, the types of associations most relevant to SMEs, their characteristics, and their services. The paper concludes by arguing that SMEs are one of the least well represented groups of business, their interests are often likely to be swamped in association governance either by large businesses or by employee–status individuals. In general there are also limits to development of services through business associations, although there is strong variation between businesses by sector, location and size. The author concludes that contributions by associations through specific services to individual companies appears to be relatively limited. The chief contribution of associations to competitiveness of their member businesses appears to be their improvement of collective industry standards, e.g. through codes of conduct, information, collective events, benchmarking and management seminars.     

Capturing Entrepreneurial Opportunities in the Romanian Equine Sector: an Fs-Qca Approach

The paper proposes an analysis of entrepreneurial intentions in the equine sector in Romania and the identification of the variables influencing economic growth in this field. The equine sector plays a strategic role in the development of durable, sustainable and social entrepreneurship. The combination of equine services can ensure a business's survival during a crisis, and businesses involving horses can be considered complex. The equine sector is constantly changing: it is affected by politics, the social environment and new competitors. Changing customer requirements make it a difficult area in which to develop a sustainable start-up ecosystem. The present study is important in drawing attention to the main impediments faced by Romanian entrepreneurs in the development of the equine sector, a sector which—because of the emotional and physical benefits that horses offer—has great potential. The horse industry needs true "enthusiastic entrepreneurs" who have the management knowledge and skills to make their business more professional and profitable. It was found that the firm's organisation method is an important factor in predicting business continuity, in achieving medium- and long-term objectives, and in ensuring business success.

     

Foreign direct investment and small firm employment in northern Mexico: 1987-1996

This study analyses the impact of foreign direct investment on small business employment along the border in Mexico between 1987 and 1996. During this period, unprecedented levels of foreign direct investment flowed to Mexico, most notably to the northern border region. At the same time, it appears that internal migration of workers from the interior to the border occurred in response to employment generated by this investment. Utilizing 1987 and 1996 data from the Encuesta Nacional de Empleo Urbano, bivariate probit models of employment and small/ large firm employment for the border and interior regions are estimated. The results suggest that the increased employment share captured by large firms in the border may have hindered growth in the small business sector. A better understanding of the impact of FDI flows on small businesses may help policymakers in developing countries as they strive to create broad-based economic growth.     

Information flows and adaptation in Tanzanian cottage industries

The aim of this research is to identify channels of information flows and their impact on business adaptation and survival. The analysis is set within a theoretical framework of information market failure and information flows. The paper draws on empirical data from a survey comprising approximately 400 small-scale entrepreneurs in dressmaking and woodworking industries at different levels of centrality in four regions in Tanzania. The data reveal that half of the businesses are growing and one-third have increased profitability by significant adaptations last year. Most changes occur in products and design. Customers and the media represent the most important sources of business information, followed by family members and business partners. Independent variables that significantly influence adaptability include customer relations, education, media exposure, social networks, and mobility. Associations are strongly modified by the entrepreneurs’ age and gender and by businesses’ size and location. The paper concludes that cottage industries in Tanzania have a remarkable ability to survive. Garment and woodwork markets are still predominantly local and competition from external businesses is limited. Access to business information and new ideas should be improved, however, to counteract growing competition from the modern sector.     

The complexity of managing human resources in Peru

This article describes how the politics of human resources have changed in Peru, and how this change played an important role in the reforms that occurred throughout the 1990s. Throughout the article, we examine how the size and the type of organization influence the generation of human resource management. For example, some medium-sized businesses have successfully integrated their human resource management with its central competencies, experiencing positive economic and financial business results. Other companies chose to circumvent human resource management issues by outsourcing or using contract workers, relegating the role of human resources to a peripheral role. Transnational organizations bring many methods and selection processes, promotions, evaluations, training and salary determination. The article ends with a comparative analysis between the formal and informal sector of the national economy with respect to human resources practices.     

高职高专会计人才培养目标定位研究——论小型企业实战型会计的培养

本文通过问卷调查方式,对高职高专院校会计人才培养目标与企业会计人才市场需求相关性进行调查研究,认为高职高专院校会计人才培养目标定位主要是为小型企业提供实战型会计,并提出了相关培养模式,以期为高职高专院校会计教育改革提供参考。     

New value partnerships: the lessons of Denny's/Save the Children partnership for building high‐yielding cross‐sector alliances

While business and nonprofit organisations have long used alliances within their own sectors to address specific needs, increasingly they are turning to cross‐sector partnerships that benefit both parties while they serve the common good. In the last decade, marketing alliances between businesses and social sector organisations have become increasingly common as ways for companies to achieve business objectives and for social sector organisations to raise their visibility and attract new resources. The alliance between Denny's and Save the Children provides an example of a noteworthy marketing partnership that shows how a cross‐sector alliance can assist a company with a damaged public image to build a new public identity while enabling an international nonprofit organisation to create an ambitious programme for US children. As a new value partnership, a long‐term, high yielding alliance between businesses and social sector organisations, this relationship is characterised by several elements: communication, opportunity, mutuality, multiple levels, open‐endedness, and new value, forming the acronym COMMON. Copyright © 2001 Henry Stewart Publications     

Further education and training in the french public sector

Since 1989, the French public sector has imitated the private sector's further education and training mechanisms. But today, it seems that just as in the private sector, the training policies in the public sector have severe limitations. Based on a case study of a large public research institute and on a national survey making it possible to compare the private and public sectors, the paper studies the further education and training policies and their links with the organizational needs. In the public sector, the difficult balance between individual's choices and strategic management comes on the one hand from the specificities of the administrative rules of human resource management, and on the other hand from the unions' power and strategies. Faced with new challenges (demographic evolutions, decentralisation, new demands from the users of public services), the French public sector must develop new training policies.     

Factors affecting the use of e-government in the telecommunications industry of spain

e-Government has become one of the most important keywords for the public sector reform with proponents claiming that it guarantees transparency; Accountability; Interface with citizen; Business; And other local and national administrations. Few, if any, studies have investigated the factors that might contribute to the integration or implementation of e-Government in business; Particularly SMEs. This paper examines the relative importance and significance of company size; Business performance and three types of information communication technology on the use of e-Government through an empirical investigation of 321 businesses in the Spanish Telecommunication sector using a multinomial logistic regression. The main conclusions are that there is a significant lack of use of the internet for e-Government by SMEs and that any use of e-Government is significantly affected by the size of business and the extent of use of information communication technology within the business. Although the targets set by the Eu for e-government might be achieved it is unlikely that many businesses will take advantage     

Supply management and family business: A review and call for research

Family-owned enterprises dominate global business, generating 70–90% of the world's gross domestic product. Existing management research has validated that family businesses often behave differently than non-family businesses, primarily by focusing on idiosyncratic non-economic goals that are not typically assessed in traditional business research. Extant supply management literature has yet to investigate the influences of family business, thus overlooking a potential significant source of variation in our research as well as limiting our managerial relevance. The objective of this paper is to introduce supply management scholars to family business, including its prominence and unique characteristics. Applying socioemotional wealth as a theoretical lens, we develop a research agenda from existing supply management and family business literature by offering propositions for future research where family business influences may permeate contemporary supply management topics including strategic supply management, sourcing strategy, supplier relationships, sustainability, risk, and e-procurement. In doing so, we provide an initial foundation for supply management scholars to both incorporate family business effects into research and launch new research streams. This is one of the first papers to our knowledge that introduces the field of family business to supply management scholars.     

Disassembling the influences of perceived family relational conflict on business family offspring’s intrapreneurial intentions

Entrepreneurial business family offspring are key figures in helping family businesses achieve transgenerational entrepreneurship. However, a global survey reveals that entrepreneurial offspring avoid the family business when conducting entrepreneurial activities. Our study makes the first effort to explore what reduces business family offspring’s intrapreneurial intentions in the family business context. Applying a mixed-method approach, we conduct 18 explorative interviews, a pretest of 124 Chinese business family offspring, and a formal survey of 131 Chinese business family offspring approaching their career decision point. We realize that growing up in family businesses often exposes offspring to two types of perceived family relational conflicts that their parents’ entrepreneurial endeavors incur, which we define as “big-family” and “parent-offspring” relational conflicts. Our empirical results suggest that the relationship between perceived family (i.e., parent-offspring and big-family) relational conflict and family business intrapreneurial intentions were serially mediated by family relational outcome expectation and family relational self-efficacy. Contributions to family business research and social cognitive career theory are discussed.

     

Recruiting outside board members in the small family business: an ideological challenge

The focus of this paper is to explore how contrasting ideologies influence the selection process of outside directors in the small family business. Small family businesses donot just represent smallscale economic activity but they are the outcome of entrepreneurial ambition and family involvement. This means that willpower and emotional commitment blend with calculative considerations. As emotional as well as cognitive constructs the family, management and entrepreneurship each represent an ideology: paternalism, managerialism and entrepreneurialism. The proposed ideological framework is positioned against alternative approaches to the study of board selection processes. Two sets of data are presented. A piloting survey of 12 family businesses is used to substantiate the theoretical assumption that entrepreneurial firms avoid having outside directors and managerial firms welcome outside directors, leaving paternalistically-run family businesses ambivalent. Repeated in-depth interviews in two family businesses, one founder-managed and entrepreneurial, the other established and traditional, reveal how the professionalization of the board enforces managerialism, challenging thus far dominating ideologies, entrepreneurialism and paternalism. The outcome of this ideological contest, if properly orchestrated, is an energized and more competitive family business.     

Ngo-Business Partnerships

The rapidly changing external environment is having major implications for the role of NGOs, their sources of funding, the nature of their relationships and their activities Globalization, the Increasingly multinational nature of business and electronic communication, has caused a parallel reduction in the powers of the nation state to affect development and a rise in the powers of the business community NGOs need to engage with the private sector in new ways. INTRAC's own ongoing monitoring of the NGO sector suggests that an analysis of these issues would be of great value to NGOs and the private sector as they grapple with possible new modes of engagement in their quest to have a positive impact on justice, peace and poverty alleviation.

Relations have moved beyond the purely philanthropic, with corporations giving money to good causes, and the highly antagonistic, with organizations protesting a company's operations, to a situation where the two sectors often work in partnership to address core business issues such as environmental management, product development and ethical sourcing.There has been an explosion in these forms of partnership between business and NGOs. This raises many issues for strategies and tactics to be followed by NGO management. As such this research is of key strategic importance to NGOs and the private sector.     

What Makes Business Statistics Special?

Non-specialists might have the feeling that building statistics on businesses is a very simple task: it seems one just has to "add facts". But for survey statisticians, business statistics are extremely complex: great heterogeneity of the universe, definition of the statistical units, difficulty of classifying businesses, quality of the register, variety of accounting standards, sample co-ordination, or reduction of survey burden. This paper argues that the issues raised by business survey methodology are conceptual and not only practical. It describes different aspects of statistical processing and tries to analyse the special features of business statistics.