Heuristics-in-use in industrial interfirm-collaborating clusters

2015 ◽  
Vol 30 (3/4) ◽  
pp. 394-404 ◽  
Author(s):  
Wen-Hsiang Lai ◽  
Arch G Woodside
Keyword(s):  
Decision Making ◽  
New Product Development ◽  
Small And Medium Enterprises ◽  
Decision Rules ◽  
Rational Approach ◽  
Content Type ◽  
Decision Systems ◽  
Interfirm Collaboration ◽  
Medium Enterprises ◽  
Potential Collaboration

Purpose – The purpose of this paper is to help interfirm-collaborating cluster (ICC) executives examine the relevance of alternative decision rules in practical business contexts. Multi-party-implemented strategies and establishing multi-lateral collaborations are necessary actions for achieving success in new product development by small and medium enterprises (SMEs). This study explores interfirm decision-making heuristics relating to industrial ICCs. Design/methodology/approach – The study examines the relevancy to decision making in ICCs of heurstics such as “fast-and-frugal decision trees” (FFDTs) and “take-the-best” (TTB) to processing possibly influential decision-making cues. The study also examines simple heuristics versus the value of a “fully rational” approach to making decisions – calculating cue values, importance weights, multiplying values by weights, summing and selecting the option having the highest summed score. This study included interviewing executives of the pivotal firm in an ICC. Findings – This study reveals a decision-making solution for shortening the time and processes required in seeking new business collaboration partners in an ICC. This study not only develops a FFDT for six decision-making modules to quickly identify potential collaboration partners, but it also constructs a decision systems analysis (DSA) flowchart to effectively shorten the decision-making process. Research limitations/implications – This study is in accordance with the general type of industrial interfirm collaboration in Taiwan. The industrial interfirm collaboration could be further divided into the types of formal, semi-formal and informal industrial interfirm collaborations. Practical implications – This study argues that firms usually find it difficult to develop their own technology because of the high costs of research and development for SMEs. Therefore, firms need to collaborate with partners to maintain their competitive advantage. However, to collaborate, firms must learn to trust their collaboration partners, and the degree of collaboration also strongly depends on the degree to which they trust their collaboration partners. Originality/value – This study provides the efficient models of FFDT and DSA to quickly identify potential collaboration partners and to effectively shorten decision-making processes.

Relevant factors of innovation contests for SMEs

2017 ◽  
Vol 23 (6) ◽  
pp. 1196-1215 ◽  
Author(s):  
Maria Isabel Rodriguez Ferradas ◽  
José A. Alfaro Tanco ◽  
Francesco Sandulli
Keyword(s):  
New Product Development ◽  
Corporate Culture ◽  
Small And Medium Enterprises ◽  
Retrospective Case ◽  
Content Type ◽  
Context Factors ◽  
Medium Enterprises ◽  
Design Factors ◽  
Relevant Factors

Purpose The purpose of this paper is to explore the relevant factors that influence the implementation of innovation contests, an open innovation (OI) practice that has been extensively reported in the literature as a managerial tool for external knowledge search. The authors focus the study on the context of small and medium enterprises (SMEs). Design/methodology/approach The approach is a retrospective case study. This methodology allows an in-depth view into a Spanish SME that successfully undertook two new product development processes thanks to the deployment of innovation contests. Findings The main context factors influencing innovation contests as managerial tool are ambidexterity, technological and marketing turbulence and intermediaries, among others. Regarding design factors, this work highlights the role of attraction and facilitation. Additionally, the repetitive implementation of innovation contests creates a corporate culture that promotes OI activities. Practical implications Managers will understand that they can use innovation contests as a managerial tool, and knowing the factors that need to be taken into account when implementing an innovation contest will help SMEs managers to make better use of this practice. Originality/value This case study enriches the literature of both innovation contests and topics relevant to SMEs. Based on a theoretical framework of the design factors that influence the implementation of innovation contests, the authors propose a research framework that incorporates those context factors in association with an SME.

The internationalization strategies of rapidly internationalizing high-tech UK SMEs

2014 ◽  
Vol 26 (5) ◽  
pp. 421-448 ◽  
Author(s):  
Dave Crick ◽  
James Crick
Keyword(s):  
Decision Making ◽  
Small And Medium Enterprises ◽  
Potential Effect ◽  
Small Sample ◽  
High Tech ◽  
Niche Markets ◽  
Content Type ◽  
Parental Decision Making ◽  
Internationalization Strategies ◽  
Medium Enterprises

Purpose – The purpose of this paper is to investigate aspects of causation and effectuation decision-making in respect of the planned and unplanned nature of the internationalization strategies of a small sample of rapidly internationalizing, high-tech UK small and medium enterprises (SMEs). These exhibit four different rates of scale of international intensity (percentage of overseas sales to total sales) and market scope (geographical coverage and commitment). Design/methodology/approach – Interviews with managers of 16 independently owned high-technology-oriented manufacturing SMEs were undertaken in this investigation to reduce the potential effect of bias from parental decision-making and firm size, also trade sectoral conditions. These were drawn from an existing database. Findings – Aspects of both causation and effectuation logic were evident in planned and unplanned aspects of decision-making. Moreover, industry factors were seen to affect internationalization strategies in various ways and not least in respect of the need to exploit windows of opportunity in international niche markets and the usefulness of utilizing managers’ experience and networks in the sector in which firms operated. Originality/value – The contribution of this study is to build on earlier work where authors have used different terminology to describe firms that have internationalized soon after their foundation. Specifically, with respect to the planned versus unplanned nature of respective internationalization strategies and the causation as opposed to effectuation logic in decision-making.

Benchmarking knowledge management practices in small and medium enterprises

2017 ◽  
Vol 24 (5) ◽  
pp. 1215-1233 ◽  
Author(s):  
Santoso Wibowo ◽  
Srimannarayana Grandhi
Keyword(s):  
Decision Making ◽  
Group Decision Making ◽  
Group Decision ◽  
Small And Medium Enterprises ◽  
Evaluation Criteria ◽  
Evaluation Process ◽  
Decision Makers ◽  
Content Type ◽  
Multicriteria Group Decision Making ◽  
Medium Enterprises

Purpose The purpose of this paper is to formulate the process of measuring and benchmarking the performance of knowledge management (KM) practices as a multicriteria group decision-making problem and present a new multicriteria group decision-making approach for effectively evaluating the performance of KM practices to meet the interests of various stakeholders in small and medium enterprises (SMEs). Design/methodology/approach A new multicriteria group decision-making approach is developed for evaluating the performance of KM practices of individual SMEs. Intuitionistic fuzzy numbers are used for representing the subjective assessments of decision makers in evaluating the relative importance of the evaluation criteria and the performance of individual KM practices with respect to specific evaluation criteria. A fuzzy multicriteria group decision-making algorithm is developed for measuring and benchmarking the performance of alternative KM practices. Findings The proposed multicriteria group decision-making approach is capable of effectively evaluating the performance of KM practices through adequately considering the presence of multiple decision makers, the multi-dimensional nature of the evaluation problem, and appropriately modeling the subjectiveness and imprecision of the evaluation process. The presentation of an example shows that the proposed fuzzy multicriteria group decision-making algorithm is simple to use and efficient in computation. Research limitations/implications The outcome of the multicriteria group decision-making approach is highly dependent on the inputs provided by the decision maker. Practical implications The novelty from this research lies in the utilization of a multicriteria group decision-making approach for evaluating the performance of KM practices in an organization. The outcome from the performance evaluation process allows the enterprise to adopt appropriate KM practices for achieving competitive advantages. Social implications The proposed multicriteria group decision-making approach has a significant social implication as it can be used as a decision-making tool for providing various decision makers in SMEs with useful and strategic information concerning the performance of KM practices in a given situation. Originality/value The originality of this paper lies in the development of the multicriteria group decision-making approach for effectively measuring and benchmarking the performance of KM practices of individual SMEs.

When do domestic networks cause accelerated internationalization under different decision-making logic?

2020 ◽  
Vol 32 (2) ◽  
pp. 227-256 ◽  
Author(s):  
Juan M. Gil-Barragan ◽  
José A. Belso-Martínez ◽  
Francisco Mas-Verdú
Keyword(s):  
Decision Making ◽  
Resource Constraints ◽  
Institutional Environment ◽  
Small And Medium Enterprises ◽  
Qualitative Comparative Analysis ◽  
Integrative Model ◽  
Data Set ◽  
Content Type ◽  
Medium Enterprises ◽  
The Impact

Purpose Given the unresolved question about which causal conditions contribute to accelerated internationalization among small and medium enterprises (SMEs) from weak institutional environment, this paper aims to combine theoretically relevant antecedents of domestic networks relationships (weak or strong domestic ties) and decision-making logic (effectuation or causation) to explore the configurations that are the most promising for explaining accelerated internationalization. Design/methodology/approach This study uses fuzzy-set qualitative comparative analysis (fsQCA) to examine the accelerated internationalization of 33 contrarian cases of SMEs located in weak institutional environment. The data set has been collected through in-depth interviews with managers in Colombia (21 cases) and Peru (12 cases). Building on the findings, an integrative model for accelerated internationalization is presented. Findings The authors found that the combination of weak domestic ties and effectuation logic accelerated the internationalization of SMEs with fewer resource constraints. In contrast, strong domestic ties and causation behavior lead to accelerated internationalization of SMEs with greater resource constraints. They propose a model to help enrich the existing literature about the causal configurations for achieving accelerated internationalization in SMEs from weak institutional environment. Originality/value The contribution of this study is to provide empirical evidence to address three shortcomings in the literature. First, the mixed results regarding the impact of strong and weak domestic ties and decision-making logic in the accelerated internationalization of SMEs; second, the limited research on domestic networks; and third, the scarce investigation in weak institutional environment, where the emphasis on constrained resources is higher.

The integrated impact of new product and market flexibilities on operational performance

2018 ◽  
Vol 29 (7) ◽  
pp. 1163-1187 ◽  
Author(s):  
Ahmed Salameh Alamro ◽  
Abdulkareem Salameh Awwad ◽  
Abdel Latef M. Anouze
Keyword(s):  
New Product Development ◽  
Positive Impact ◽  
Small And Medium Enterprises ◽  
New Product ◽  
Operational Performance ◽  
Strategic Flexibility ◽  
Manufacturing Companies ◽  
Strategic Decisions ◽  
Content Type ◽  
Medium Enterprises

Purpose The purpose of this paper is to investigate and test the relationship between a company’s strategic flexibility, as evidenced by new product development flexibility and market flexibility, and its operational performance (OP) in Jordanian manufacturing companies. Design/methodology/approach Using a survey questionnaire, data were collected against two strategic decisions market and new product flexibility (NPF) from 222 middle and senior managers belonging to 116 Jordanian manufacturing firms. Confirmatory factor analysis was employed to investigate the effects of these two strategic decisions on OP. Findings Results show a significant positive relationship between both NPF and market flexibility and OP. No significant differences between small and medium enterprises and large companies are found, indicating that the model is valid for both sizes. Also, the additional analyses suggest that the proposition that both NPF and market flexibility are important for OP was correct. Research limitations/implications Only two strategic flexibility decisions were considered in this paper, however, researcher could investigate other strategic flexibility decisions on OP. Practical implications The strategic flexibility level, in terms of NPF and market flexibility, that is needed for coping with uncertainty equips managers to handle challenges by enhancing the company’s controlled capacity through a considerable reduction in response time. An improvement in the company’s strategic flexibility enhances its overall performance and competitiveness and this, in turn, has a positive impact on its long-term sustainability. Originality/value The paper provides insights into the strategic flexibility decision practices in a Jordanian context. It provides further evidence that both market flexibility and NPF are significant in enhancing OP.

An integrated Grey-DEMATEL approach for evaluating ICT adoption barriers in manufacturing SMEs

2019 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Amit Singh ◽  
Jitesh Thakkar ◽  
Mamata Jenamani
Keyword(s):  
Decision Making ◽  
Design Methodology ◽  
Small And Medium Enterprises ◽  
Political Influence ◽  
Data Input ◽  
Content Type ◽  
Domain Experts ◽  
Proposed Model ◽  
Ict Adoption ◽  
Medium Enterprises

Purpose The purpose of this paper is to propose an integrated gray-decision making trial and evaluation laboratory (Grey-DEMATEL) framework to evaluate the ICT adoption barriers in manufacturing small and medium enterprises (MSMEs) running in developing countries. The proposed model is also tested for Indian MSMEs. Design/methodology/approach The model consists of 16 potential ICT adoption barriers selected from existing literature and refined based on discussion with domain experts. While DEMATEL analyses causal relationship and prioritizes them, Grey approach tackles individual biases and data insufficiency. Findings The authors conclude that lack of awareness about benchmarking and lack of management vision are the most critical ICT adoption barriers in the case of Indian MSMEs. Research limitations/implications Outcomes of the present research are based on the experts’ inputs which are subject to the biases related to their experience and exposure. In India practices adopted by SMEs have geographical and political influence that is also neglected. Originality/value This study provides a model consisting of 16 ICT adoption barriers for MSMEs in developing country and a framework to analyze causal relationships among the barriers with the flexibility of data input from their own domain experts. The framework is also capable of dealing with expert biases and data insufficiency.

scholarly journals Open innovation in small and medium enterprises: a bibliometric analysis

2019 ◽  
Vol 32 (5) ◽  
pp. 533-557 ◽  
Author(s):  
Ignacio Odriozola-Fernández ◽  
Jasmina Berbegal-Mirabent ◽  
José M. Merigó-Lindahl
Keyword(s):  
Bibliometric Analysis ◽  
New Product Development ◽  
Open Innovation ◽  
Small And Medium Enterprises ◽  
Intellectual Property Right ◽  
Comprehensive Overview ◽  
Content Type ◽  
Country Level ◽  
Prolific Authors ◽  
Medium Enterprises

Purpose The open innovation (OI) paradigm suggests that firms should use inflows and outflows of knowledge in order to accelerate innovation and leverage markets. Literature examining how firms are adopting OI practices is rich; notwithstanding, little research has addressed this topic from the perspective of small- and medium-sized enterprises (SMEs). Given the relevance of SMEs in worldwide economies, the purpose of this paper is to provide a comprehensive overview of research on OI in SMEs. Design/methodology/approach In total, 112 academic articles were selected from the Web of Science database. Following a bibliometric analysis, the most relevant authors, journals, institutions and countries are presented. Additionally, the main areas these articles cover are summarized. Findings Results are consistent in that the most prolific authors are affiliated with the universities leading the ranking of institutions. However, it is remarkable that top authors in this field do not possess a large number of publications on OI in SMEs, but combine this research topic with other related ones. At the country level, European countries are on the top together with South Korea. Research limitations/implications Despite following a rigorous method, other relevant documents not included in the selected databases might have been ignored. Practical implications This paper outlines the main topics of interest within this area: impact of OI on firm performance and on organizations’ structure, OI as a mechanism to hasten new product development, the analysis of the inbound/outbound dimensions of OI, and legal issues related to intellectual property right management when OI is implemented. Originality/value The study uses a combination of bibliometric indicators with a literature review.

A Study on the Analytics Tool Used in Decision Making at Small and Medium Enterprise

2015 ◽  
Vol 3 (1) ◽  
Author(s):  
Vivek N. Bhatt
Keyword(s):  
Decision Making ◽  
Business Intelligence ◽  
Small And Medium Enterprises ◽  
Small Scale ◽  
Know How ◽  
Decision Making Styles ◽  
Routine Basis ◽  
Medium Enterprise ◽  
Decision Making Processes ◽  
Medium Enterprises

The article focuses on the study of prevailing decision making styles of Small Scale Industrial (SSI) Units. It presents data collected from 200 SSI units from Bhavnagar – a coastal city of Gujarat, India. The objective of writing the article is to depict heuristic decision patterns of small and medium enterprises, and the rare use of analytical or statistical business intelligence tools in decision making processes. It would be interesting to study the design of decision taken on routine basis in small units, poorly equipped with technology and technical know-how. The paper is descriptive in terms, and lays a lucid picture of present decision making processes.

Twiga Hosting Ltd – providing affordable information and communication technologies services to small and medium enterprises

2011 ◽  
Vol 1 (4) ◽  
pp. 1-16
Author(s):  
Juma James Masele
Keyword(s):  
Information And Communication Technologies ◽  
Undergraduate Students ◽  
Success Factors ◽  
Small And Medium Enterprises ◽  
Innovation Management ◽  
Communication Technologies ◽  
Subject Area ◽  
Content Type ◽  
Information And Communication ◽  
Medium Enterprises

TitleTwiga Hosting Ltd – providing affordable information and communication technologies services to small and medium enterprises.Subject areaThe case describes the launch of Twiga Hosting Ltd, a company providing information and communication technology (ICT) services to the underserved small and medium enterprise (SME) sector in Tanzania and in a many countries in Africa.Study level/applicabilityThis case targets a range of audience from undergraduate students taking both Bachelor of Commerce and those taking Bachelor of Business Administration; and Postgraduate students taking business‐related courses. Nonetheless, the case may be used by all other learners of advanced studies in entrepreneurship and innovation management.Case overviewThe case addresses a number of issues including: Issues to be considered when starting an ICT enterprise. Strategic management. Business revenue models.Expected learning outcomes To impart/inculcate entrepreneurial insights in ICT and related areas. To make learners aware of the business growth opportunities in ICT ventures. The success factors for fruitful ICT ventures. To enable learners to identify challenges facing entrepreneurs in ICT ventures and the ways to overcome them.Supplementary materialsTeaching notes.

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