This dissertation summarises an analysis and assessment of the application of Quality Management Systems (QMS) by Small, Medium and Micro Enterprises (SMMEs), in the Engineering Manufacturing Sector of the greater Cape Town Metropolitan area. An outline of the existing hypothesis derived from previous international SMME studies related to the adoption of QMS by SMME’s, the management’s understanding of quality principles, the potential business benefits of QMS and the reasons for implementing Quality Management systems are given as background to the study. The dissertation includes a discussion of literature on the state of QMS in SMMEs, in particular, recent international research literature hypothesising that SMME management lack essential QMS knowledge and that, in general, most SMME’s do not have a QMS and that SMMEs only implement a QMS as a result of contractual pressures / requirements. Also reported are the results and findings of a survey conducted to test the validity of the existing hypotheses amongst a representative sample of Engineering Manufacturing SMMEs registered with the Cape Regional Chamber of Commerce and Industry in the Western Cape. Results of the survey indicate that almost 90 percent, of the companies surveyed had some type of Quality management System, the only two companies that reported not having a QMS, were companies classified as “Micro”, in terms of the National Small business Act. Analysis of the response to the survey concludes that, in general, more than 80 percent of Engineering SMMEs in the Manufacturing Sector have adopted a QMS based on ISO 9001 and that, on average, their management have a medium to high level of understanding of QMS and the associated business benefits. It is also apparent from survey responses, that companies classified as “Micro” in terms of the Small Business Act of 1996, do not see the need for a formal QM system as the owners of these companies consider them too small for a formal QMS. Instead they take direct ownership of their service and product quality in the face of the customer.