How SMEs can progress : a study on Singapore context.

• Main Authors: Tan, Kuan Hua., Tech, Chanphearum., Yeong-Nathan, Jasmine.
• Other Authors: Nanyang Business School
• Format: Final Year Project
• Language: English
• Published: 2013
• Subjects: DRNTU::Business::Management::Organizational change
• Online Access: http://hdl.handle.net/10356/51316
• Institution: Nanyang Technological University

Given the importance of Small and Medium Enterprises (SMEs) in driving the Singapore economy, it is critical to ensure that measures are in place to keep them competitive to further develop. Therefore, this study aims to look into the internal practices that would aid SMEs in Singapore to grow further amidst all the challenges. Through the case study of Li & Fung, we have categorized three main successful internal factors, namely organizational culture, human resource management and strategic planning that have helped the company to grow from an SME to a multinational company it is today. We further looked into the local SMEs in terms of these three categories. We found that Singapore SMEs usually engage in micro-managing culture and are lacking in professional management assistance. In addition, we also found that Singapore SMEs do not have a holistic human resource management in place and lack proper strategic planning. After finding out the current practices in local SMEs here, we compared them to Li & Fung, and came up with recommendations for both the SMEs and the Singapore Government. Our recommendations focus on changing the mind-set of SME owners and management, developing a more structured and formal human resource management, and engaging them to take up long-term strategic planning. We have also recommended the necessary government supports that should be in place to assist the local SMEs, to transform themselves at a faster rate in order to catch up and compete with their competitors, both locally and from other parts of the world.