Comparative analysis of managerial practices in small medium enterprises in Malaysia

Abstract

The purpose of this paper is to examine the existing practice in managerial strategic and tools being used and problems faced by local Small Medium Enterprises (SMEs). Most SMEs operates with limited resources. With today's arduous competition, it requires the SMEs to tune its current business practice to cope with the rapid changes in the business environment. Due to the rapid changes, it requires the SMEs managers to be equipped with new knowledge and ideas to promote effective managerial practices. In other word, SMEs need to have better trained managers, knowledgeable in managerial activities. Focus should be on the knowledge on financial management, human resource management and marketing management technique. This study empirically investigates the differences in the managerial practices of SMEs in the Malaysian Manufacturing sector. The most important findings of the study on managerial practices are that the SMEs appear to have a very limited knowledge of the overall spectrum of managerial practices.