International Journal of Academic Research in Business and Social Sciences

search-icon

How do SME owners management information in the Tshwane area, South Africa

Open access
The high failure rates of SMEs, due to lack of managerial skills, motivated the lecturers of the Department Marketing & Retail, CEMS, Unisa to initiate training workshops at municipalities in their region. The Small and Medium Enterprises (SME) skills development community engagement project SME skills transfer workshops are being presented on a monthly basis with Prof Louise van Scheers as one of the project leaders. The aim of this project is to improve managerial skills of small business owners of the formal and informal sectors in the Tshwane municipality area. In South Africa there has been an increase in the number of small businesses starting up which increase competition amongst businesses. Advertising has been seen as a means to aid these small businesses to differentiate them from the competition. Quantitative was used in the form of survay with managers and owners of small businesses participating in the workshops. The most successful advertising medium used by small businesses in the area according to the conducted research is wall painting. With an increase of tourist to the area, the Internet should be considered a more popular form of advertising.
The conducted research established that information management of SME owners are below the normal business standards. The research also indicated that information management, managerial skills and access to finance are the biggest hindrances to growing and managing their businesses better. Unfortunately, the basic structural information that smaller entities like SMEs struggle with together with lack of resources hinder their information management. The conducted research recommends that tailor made business management workshops on information management should be designed, and appoint appropriate and accountable organisations with specific outcome targets
• Banerji, J and Jain, S. (2007) Quality Dualism, Journal of Development Economics, 84, 234-250.
• Centre for International Private Enterprise. (2007) Economic Reform Feature Service: Supporting Young Entrepreneurs in Tshwane, October 31
• Chandra, V. and Rajatnam, B. (2001) Constraints to Growth and Employment in the Informal Sector: Evidence from the 1999 Informal Survey Firm. Washington: World Bank
• Heath, J.E. 2005 Tshwane. Concise Dictionary of World Place-Names. Encyclopedia.com. Johannesburg.
• Malhorta, Y. (2000) From Information Management to Knowledge Management: Beyond the ‘Hi-Tech Hidebound’ Systems. In K Srikantaiah & M.E.D. Koening (Eds.), Knowledge Management for the Information Professional. Medford, N.J.: Information Today Inc., 37-61.
• Orna, E. (2004) Information Strategy in Practice. Aldershot: Gower Publishing Company.
• Patten, M. (2004) Topic 19: Biased and unbiased sampling (pp. 45-46). In Understanding Research Methods. Glendale, CA: Pyrczak.
• Patton, M.Q. (2001) Qualitative Evaluation and research methods (3rd Ed.) Thousand Oaks, CA: Sage Publications, Inc.
• Research Bites, 2002 Issue 1. The University of New South Wales, Sydney
• Suhr, D. (2009) SAS Global Forum Coders’ Corner: Selecting a Stratified Sample with PROC SURVEYSELECT, Paper no 058-2009. Greely: University of Northern Colorado.
• Van Scheers (2005) Bridging the Divide: The Role of Technology and Trade; Emerald Publishing, pg 373-380)
• Van Scheers (2006) Investigating whether lack of marketing and managerial skills is the main cause of business failure in South Africa. South African Journal of Economic and Management Sciences, 2006, Vol 8, No. 4, pg 402-411
• Van Scheers (2008) Gathering perceptions of Tshwane small business owners on advertising in black townships in South Africa. Journal of Global Business Advancement. Vol 1 No. 4, pg 445-458.
• Van Scheers (2009) Environmental Management, Sustainable Development and Human Health; London, UK; Taylor & Francis Group; pg 145-155
• Van Scheers (2010) SME marketing skills challenges in South Africa, African Journal of Business Management, Vol. 5(11), pg 4071-4077
• Van Scheers (2010) Challenges of small family groceries shops in South Africa, World Journal of Entrepreneurship, Management and Sustainable Development, Vol. 6, No. 3,pg 221-231.
• Weijun, T (2008) Research Methods for Business Students. Shanghai Jiao Tong University.
• World Bank (2007) Informality: Exit and Exclusion, Washington D.C, World Bank