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The Newcastle Business School Masters Dissertation Proposal

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The Newcastle Business School

Masters Dissertation Proposal

Name _____________________________Programme _________________


(SURNAME) (FORENAMES)

This form MUST be accompanied by the NBS PG Dissertation


Registration Form (available from the Postgraduate Office)

The number of words for each section are for GUIDANCE ONLY.

1 Researchable Topic Area: you should include background and issue(s)


underlying the research (approximately 300words):

This research will focus on investigating the key skills and competencies for
SMEs expansions. Small and medium-sized enterprises (SMEs) are
undoubtedly the most important part of the economic growth. Some researchers
Ates et al. (2013); Busi and Bitchi (2006) argued that SMEs sustain in long-term
and expansions are quite challenging. For sustaining in the markets for long-
term and smooth expansions required advance managerial practice in the main
business process. SMEs in developing countries experience difficulties for new
and innovative managerial practice (Cagliano et al.2001).Chowdhury (2006)
cited that the lack of government effort and incentives for the entrepreneurial
development are the key hurdle of innovative management practice. He
suggested that healthy performance of management practice depicts the
sustainable and high performance of SMEs rather than assets. In the previous
study, Cagliano et al. (2001) also suggested that the adoption of advanced
managerial practices and competencies in the core business process are key to
successful improvement of SMEs business performance and competitiveness.
Berger et al. (2002) cited that the management practice and competencies are
a cluster of the related knowledge, skill characteristics, and attitudes that

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correlated with effective performance and those are the key elements of
organisational expansions. Veliu and Manxharis (2017) research suggested that
organisational performance is not only related to the material resources but also
the human resources, and their competencies and the development of
management competencies has become one of the key priorities of SMEs
expansions.
SMEs are the potential instrument for the economic development in Bangladesh.
SMEs contribute more than 15% of total GDP’s in Bangladesh. Bangladesh
government and non-government organisations patronise SMEs by providing
training facilities, financial incentives and also supporting with raw materials.
Although SMEs contribute the greater extent of the economy in Bangladesh,
they face sheer challenges for their expansions and sustain long-term in the
competitive markets. Bhattacharya and Hossain (2006) identified that the
complex documentation process, business environment, internal trade
capabilities, lack of appropriate training and availability of local expertise, lack
of cost-effective communication, re-engineering of procedures are major
constraints of SMEs expansion in Bangladesh. All of those challenges are
associated with lack of internal management capabilities. Management skills
and competencies are very important in this regard to identify, develop and
retain the talented people. Every effective and successful manager possesses
several competencies that enable them to perform effectively and efficiently at
different managerial levels. So, the effective management’s skills and
competencies might play the vital roles to overcome SMEs challenges and keep
the organisation on track for long-term in the competitive environment.
Hence, this research will identify the key management skills and competencies
for the SMEs expansions in context of Bangladesh. The title is
‘ Analyse the key skills and competencies of management for SMEs expansions-
A case of Bangladesh.’

2 Objectives for the Research: you should state 3-4 maximum research
objectives,relating to academic theories, your proposed investigation, your
analysis and your conclusions (approximately 150 words):

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Small firms often expending their business in different parts of the national and
international era. The expansion of SMEs has basically identified the
opportunities to exploit their business into a competitive market. There is a
number of reasons for their expansions such as to get the competitive
advantages and gain more customers for generating revenues and profits. For
SMEs successful expansion, effective management is one of the most essential
ingredients for SMEs to survive for long-term. However, lack of management
competencies are root and most frequent voiced reasons for the failure of SMEs
expansions (Schmitz, 1995; Van Dijk and Robellotti, 1997; Bruke and Collins,
2001). In order to provide SMEs useful advice and tailored recommendation for
management skills and competencies, it is necessary
1) to investigate the theories and practices of management competencies
of SMEs along with managements strategic practices in Bangladeshi
SMEs;
2) to identify the gap or barriers between theories and practices of
management for SMEs expansions;
3) to recommend the management skills and competencies regarding
professional, social and personal levels for implementing the business
performance of SMEs.

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3 Literature Review: you should identify and discuss the academic theories
and some current research relevant to your researchable topic area You
should use in text citations, APA reference style and add a full reference list in
Section 8 (approximately 1050 words).

SMEs expanding their business due to the geographical expansion where it is


the most important paths for the firm expansion and demographic increase
influences the firm business as well (Lu and Bemish, 2001). Bangladesh is
largely populated country and there are wider prospective for SMEs growth. In
pursuit, for the growth of business and high return of profits, SMEs adopt the
geographical expansion strategy where they can leverage new opportunities
and compete against their competitors. Liedholm and Mead (1999) addressed
that the growing business requires expanding knowledge about and mastery of
improved production technologies which are associated with management skills.
To upgrade the management skills Liedholm and Mead (1999) addressed two
different approaches:

1. While setting up the new business it is most important option to


concentrate on the available management training programme and
develop their internship or training programme more seriously, and
2. With the help of the enterprises support, the managements need to build
up their existing experience for the new venture.
SMEs and management theories are evolved and based on the how SMEs are
viewed their expansion strategy and they have inseparable relation (Analoui,
1998; Al-Madhoun and Analoui, 2003). Effective management is, therefore, the
essential ingredient for the productive performance of the SMEs and its an
important need for long-term survival and most important determinants of SMEs
success (Mullins, 1993
On the other side, Stoners (1995, p9) stated that the expansions and
development of SMEs depends on the management values where a skilled
manager can carry out the overall strategy and responsibilities in accordance
with the company’s objectives.

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In the context of Bangladesh, different governmental and non-governmental
organisations (NGOs) are actively engaged in promoting SMEs but they have
not been unleashing entrepreneurial talents and enhance productivity through
the economy (Chowdhury, 2007). Chowdhury (2007) also added that the poor
SMEs infrastructure, political and economic turbulence, public sector
investments, trade and taxation policies are the key constraints for SMEs
development. In the previous study, Gnyawali and Fogel (1994) stated that
SMEs in the developing countries are subject to hordes of other hurdles apart
external barriers such as lack of management training facilities, lack of skills and
competencies and lack of accountabilities.
One of the most recent study, Muhammad et al. (2010) studied in SMEs
development in south Asian countries found that the downtrend of the economic
condition affected the SMEs business in Bangladesh which are the low capital,
unskilled workforce and lack of strategic capabilities who are trading products
and services from other business.
Ahmed, Rahman, and Haque (2011) conducted a large survey to identify the
constraints of development of manufacture based SMEs in Bangladesh. They
identified that the lack of infrastructural support, political unrest, shortage as well
as price hike of raw materials, high financial costs, poor management skills and
capabilities, lack of knowledge about entrepreneurial strategy are some of the
key factors for the slow development of SMEs in Bangladesh. In another study,
Chowdhury et a. (2013) surveyed over 100 SMEs in Bangladesh to identify
potential problems and they found that SMEs management waiting for long to
get loans by solving tedious paper works and not enough expertise to incur loan
from banks or financial institutions. The researchers suggested that to get
financial incentives SMEs required a strategic and clear business plan and
developed the relationship with the private and public sector to receive adequate
training. In another study, Khan et al’s (2012) research pointed out the similar
types of problems where the SMEs suffered from unskilled people, lack of
negotiation to government parties for the licensing of their companies and
getting services and supports from them.

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By analysing the above challenges of SMEs, it is clear that management skills
and competencies are the first priorities for the SMEs growth. Managements’
competencies are very important because they become expertise to set vision,
mission and provide a sound basis for consistency and objective performance
and alert about what is needed and expected for the organisations (United
Nation Report, 2004). In the context of Bangladeshi SMEs, there is no
alternative to design and provide the management training programme to
upgrade management skills. In this regards, Liedholm and Mead (1999) two
approaches (discussed earlier) training programme is very simple to train the
management.
Management skills and competencies are greatly affected organisational
performance. Bakanauskiene and Martinkiene (2011) stated three types of
management skills or competencies which are very crucial for SMEs expansions
such as:
1) Professional skills/competencies- this includes planning, problem-
solving, strategic thinking, generating ideas, resolution, and logic etc.
2) Social skills/competencies- this includes communication and influencing
others, effective relationships, orientation to customers etc.
3) Personal skills/competencies- this includes self-confidence, stress
management, personal goal, self-development etc.

In dissertation part, this research will analyse the depth management theories
and criticise the past theories and models. In this case, the gap of management
competencies and current practices will be found.

4 Details of your research: (a) Identify who or what you will use to obtain
data or information (b) Explain how you will collect this data / information and
how you will get access (c) Identify how you are going to analyse your data /
information (approximately 1050 words).

Since this research aims to understand the key skills and competencies of
management for the SMEs expansions, the depth research is required to
apprehend the management competencies for their business development.
Jones et al. (2006) stated that the qualitative research help to find the complexity
and richness of the situation which may differ from the theoretical norms. So,

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this research chooses face to face or telephone interviews which will be one to
one or focus group interviews with SMEs managements and owners. The author
will also carry on the secondary search from the analysis of the company
publications/reports and company websites.
Multiple case studies will be primarily selected to carry out this research. In this
regard, some of the prime level SMEs in Dhaka city will be chosen such as RFL,
OTOBI, Royal etc. Some of the food chain shops ‘Tasty Treat’ and ‘Well Food’
also consider in this research.

Research Philosophy
Hence this research is focused on the depth complexity of the managements’
ideologies, beliefs and strategic position of SMEs expansion, the interpretative
research is more suitable than two other approaches such as positivistic and
critical research. Bryman and Bell (2007) stated that the interpretative research
focuses on the distinction between conducting research on people and valuing
thoughts and belief rather than objectivism.
Data Collection
The author will conduct the structure and semi-structured interviews with the
participants and collected the different documents and archival materials to get
the depth understanding of investigating the answers to the research questions.
Here primary and secondary data collection techniques will be used to reduce
bias which is considered the most common pitfall of qualitative research.
Research approach
This research might choose the inductive approach where it involves developing
ideas from the primary data collections and the past literature. By analysing the
qualitative data through inductive approach, there will be closer understanding
of the research context and less concern with the need to generalise.

5 Research ethics: - if your study involves people, briefly describe what you
will consider in order to ensure that your research follows the University’s
Ethical Policies and Procedures, for example, individual consent and / or
organisational consent. If your study involves secondary data only, you should
advise us of any ethical issues or the absence of any ethical issues
(approximately 150 words).

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This research focuses on to get university’s ethical permission first to approach
in the field site, and also concerns to fill up the additional ethics which might be
obtained from the selected organisations.
Payne and Payne (2004, p 66) suggest that with the respecting and protecting
the people's activity where the research studies are taking place, ethical
practices are used as a moral stance and strong academic regulation.

Since this research decided to conduct interviews and participant observation,


the author needs to tell participants at the start what he is doing, why he is doing
it and what will do with the findings. Myers (2013) says that ethical breach is too
common among the researchers. For example, he stated that if researchers
promise informants that he/she will keep any information they share with then
confidential, then publishing any information from them later it would constitution
breaking of their promise which is considered the great ethical breach. The
author should consider the matter sincerely.

6 Conclusions: you should describe what your research will achieve by


referring back to your objectives in Section 2 (approximately 300 words):

The main aim of this study is to identify the key skills and competencies of
management for the SMEs expansions. This study will identify the motives for
business expansion from the analysis both primary and secondary data. The
credible source of primary data by using the suitable interview questionnaires
will inform the author to get answers to the research questions.
This research will inform that the skills and competencies of the management
based on SMEs practice where they are influenced by the SMEs characteristics.
Here the skilled manager needs to look for the short and long-term planning of
the business to get more focus on the communication, strategic market position
and looking for the competitive advantages over the rivals.
The development of SMEs in Bangladesh are hurdle by a lot of external and
internal factors but major of the constraints might be overcome if they increase
management competencies by empowering them proper and skilled training
from the national or international training institutions.

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This research might help the entrepreneur by developing their managerial
practices to improve organisational performance. They can develop the right
mission, vision, and values by formalising their strategies.

7 Timetable for your research: you should cover the whole period of time
available (by month). You should indicate below when you are going to work
on various parts of your dissertation, for example, your literature review, your
collection of data / information, your analysis of the data / information, your
conclusions and final revisions of your dissertation. Set this out in a table as
follows

The author has considered the dissertation project starting date from the 1 st of
March and finished in the mid of May. All the activities are breaking down in
this Gantt chart.
Mar 2018 Apr 2018 May 2018
ID Task Name Start Finish Duration
4/3 11/3 18/3 25/3 1/4 8/4 15/4 22/4 29/4 6/5 13/5 20/5 27/5

Introduction part and refine


1 01/03/2018 15/03/2018 2w 8h
research objectives
Write literature with theories and
2 16/03/2018 13/04/2018 4w 8h
model
Complete literature part and
3 16/04/2018 23/04/2018 1w 8h
research method
Started primary research and
4 24/04/2018 21/05/2018 4w
finish analysis part
5 Concluding part 11/05/2018 21/05/2018 1w 16h

The Gantt chart shows the research completion timetable in the different time
frame.

8 Reference List – in APA style.

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Ahmed, F., Rahman, M. M. and Haque, M. (2011), “Constraints of Manufacture
based Small and Medium Enterprise (SME) Development in Bangladesh”,
Journal of Social and Development Sciences, vol.1, no.3, pp. 91-100.

Al‐Madhoun, M.I. and Analoui, F. (2003), "Managerial skills and SMEs’


development in Palestine", Career Development International, Vol. 8 Issue: 7,
pp.367-379.

Analoui, F. (1998), “Managerial prospective, assumptions and development of


the human resource management”, in Analoui, F. (Ed.), Human Resource
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Ates,A., Garengo, P., Cocca, P. and Bititci, U. (2013) "The development of SME
managerial practice for effective performance management", Journal of Small
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Bhattacharya, D. and Hossain, S.S. (2006), “An Evaluation of the Need and Cost
of Selected Trade Facilitation Measures in Bangladesh: Implications for the
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Trade and Investment Division, Economic and Social Commission for Asia and
the Pacific (ESCAP), Bangkok.

Berger, A., and Udell, G. (2002). “Relationship Lending and Lines of Credit in
Small Firm Finance.” Journal of Business, 68 (3), 351–381.

Burke, S. and Collins, K. (2001) “Gender differences in leadership styles and


management skills”, Journal of women in management review, Vol.16, No.5,
pp.244-56.

Busi, M. and Bititci, U.S. (2006), “Collaborative performance management:


present gaps and future research”, International Journal of Productivity and
Performance Management, Vol. 55 No. 1, pp. 7-25.

Bryman, A. and Bell, E. (2007) ‘Business research methods’, Oxford University


press.

Cagliano, R., Blackmon, K. and Voss, C. (2001), “Small firms under microscope:
international differences in production/operations management practices and
performance”, Integrated Manufacturing Systems, Vol. 12, No. 7, pp. 469-82.[
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Hagos, T.M. and Pal, G. (2010), “The means of analysis and evaluation for
corporate performances”, Annales Universitatis Apulensis Series Oeconomica,
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Hudson-Smith, M. and Smith, D. (2007), “Implementing strategically aligned


performance measurement in small firms”, International Journal of Production
Economics, Vol. 106, No. 2, pp. 393-408.

Jones, M., Grimmer, K., Edward, I. et al. (2006), “Challenges in applying best
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development, the dynamics of micro and small enterprises, Routhledge, London
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Pope, E.C. (2004), HR How-to: Performance Management, CCH, Chicago, IL.

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Hall, Englewood Cliffs, NJ, and Simon Schuster, Richmond Hill, Ontario.

Van Dijik, M.P. and Rabellotti, R. (1997), Enterprise clusters and networks in
developing countries, EADI Book Series 20, Frank Cass, London.

Veliu, L. and Manxhari, M. (2017) “The impact of managerial competencies of


business performance, SME’s in KOSOVO”, Vadyba= Journal of Management,
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Venkatraman, N. and Ramanujam, V. (1986), “Measurement of business


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