All around the world, many studies demonstrate the importance of Small, Micro and Medium Enterprises (SMMEs) in lifting-up the economy and creating employment. Many governments around the world have created institutions with the aim to enhance SMME survival and growth. This in turn contributes to social and political stability in a country. Despite the importance of SMMEs to the economy and employment creation, in South Africa studies (Hallberg, 2000; World Bank, 2000; World Bank, 2007; SBP, 2014; GEM, 2015, & Edinburg Group, 2015) show that government policy hinders the development and growth of SMMEs. One of the most cited government policies that hinder SMME development and growth is the institutional framework. Institutions are viewed as the platform that could be used to apply formal and/or informal “rules of the game” in society. These institutions play a critical role for the individuals and organisations (our emphasis) to manage unforeseen events, outcomes and high transaction costs. In order for the institutional platforms to remain relevant, it is critical that they are developed to meet the needs of entrepreneurs and SMMEs, since in actual fact they are the ones, which need the institutional platforms for growth. The National Planning Commission through the National Development Plan (NDP, 2013) stresses the need for South Africa to create a conducive business environment. This means eliminating policy and regulatory constraints in order to accelerate development and growth of SMMEs. It is also stated that the institutional matrix plays a crucial role to ensuring that organisations remain viable, profitable and survive growth phases. To experience successful change process, organisations need to appreciate the constraints that hinder development. Hence it is important to ensure that governments create business environment that respond to the needs of the SMMEs. The aim of the study was to examine the current South Africa's institutional framework for SMMEs and find out if the designed and implemented programmes appropriately meet the demands of SMMEs in South Africa. The objectives of the study were to review various institutional frameworks for promoting and supporting SMMEs that are promoting and supporting SMMEs around the world and in South Africa; to assess the extent to which SMMEs support institutions were designing and implementing support services and strategies that responded to the short- and long-term needs of SMMEs. The research study found that the key institutional constraints perceived by public sector service providers as inhibiting the development of SMMEs in South Africa are the following: there is low coordination between organizations supporting SMMEs; inadequate management skills, in particular financial management; lack of domestic and global market access; high regulatory burden, to clear the red tape and lack of access to information and technology infrastructure. This research study advances that solid institutions can help to improve and enhance the role of SMMEs in meeting government's developmental objectives. This view was enabled by the research approach to gather primary information from public sector experts supporting SMMEs, but it also affirms that the views narrated would be subjective. The research study argues that South Africa has a relatively developed institutional framework that supports growth and development of SMMEs. However, the plethora of government programmes administered in various levels of government; different departments and agencies coupled with limited resources has caused fragmentation. The findings in this research study show that government agencies including their oversight holding departments have shown substantial overlap indications in terms of their programmes offering. Further, the findings indicate that there is inadequate interaction with the private sector, SMMEs associations, higher education institutions including civil societies in designing programmes, as result the needs of SMMEs are not properly considered. It essential to improve partnerships in programmes that support export promotion, innovation and training and development. The research study further proposes that South Africa, should adopt and adapt the institutional structures applied in Malaysia and the United States of America (USA). Their institutional structures support a high level body that includes both the political representation and private sector, SMMEs associations, higher education institutions including civil society representation in its composition. This way, social partners would be enabled to influence policy and programme development in relation to the SMME industry. The thesis emphasises the important role of a partnerships approach in implementing development programmes. Further, the thesis argues that what is vital is to listen and incorporate the needs of the business owners, and ensure that policies and programmes meet the expectations of the SMMEs.

The preferential procurement policy objective of granting SMMEs preference in the allocation of government contracts is to guarantee a level playing field by granting access to the market. Yet, it is unclear what the current position of SMMEs is in participating in preferential procurement. SMMEs face obstacles that arise from inadequate resources availability in participating in preferential procurement. The purpose of this research report is primarily to explore the perceptions of the owner/and manager of SMMEs regarding significant resources that are required to influence involvement and participation in preferential procurement. Furthermore, to also explore the impact of participation in preferential procurement on employment generation.This descriptive quantitative research looks at a sample of 100 SMMEs from Gauteng that have been involved in preferential procurement at least once within a period of three years to date of participation in this study.The self administered web-based questionnaire was used to investigate perception of SMMEs on significance of resources that influence involvement and participation in preferential procurement and how their participation impacted employment generation.The results of the study indicated that SMMEs perceive administrative and supply capacity resources as the most significant resources to participate successfully. It further provided evidence of positive impact participation has on SMMEs growth in relation to employment generation.In contrast, the findings suggest that information resource is the least significant resource required to participate in preferential procurement. Lastly the results suggested that micro enterprises place less significance on supply capacity resource. / Dissertation (MBA)--University of Pretoria, 2012. / Gordon Institute of Business Science (GIBS) / unrestricted

The research study focused on assessing the usage of accounting systems by Small Medium Micro Enterprises (SMMEs). The location of the study was SMMEs in Maluti-a-Phofung Local Municipality (MAP LM) in the Eastern part of the Free State province. The objective of the study was to investigate the usage of accounting systems by SMMEs around MAP ML. The research approach that premised the study was a quantitative methodology, which involved distribution of questionnaires as part of field work to SMMEs in MAP LM area. The questionnaires were analysed through a statistical approach, and further linked back to the problem statement posed to the research study. The area of focus in the SMMEs was the usage of Computerised Accounting Systems which was selected because of its huge impact in the operation of most businesses. Computerised Accounting System forms the core of the business sustainability; it ensures that management is always abreast with information. Various literatures were reviewed regarding the usage of Accounting Systems and computerised accounting systems for SMMEs. The results provided an interesting outcome to conclude that the accounting systems being used by the SMEs around the MAP area poses less challenges to the operation of the businesses. It can also be concluded from the study that SMMEs around the MAP LM area are using accounting systems that collect and process data accurately and communicate information to the decision makers with no challenges. / MBA, North-West University, Potchefstroom Campus, 2015

The research study focused on assessing the usage of accounting systems by Small Medium Micro Enterprises (SMMEs). The location of the study was SMMEs in Maluti-a-Phofung Local Municipality (MAP LM) in the Eastern part of the Free State province. The objective of the study was to investigate the usage of accounting systems by SMMEs around MAP ML. The research approach that premised the study was a quantitative methodology, which involved distribution of questionnaires as part of field work to SMMEs in MAP LM area. The questionnaires were analysed through a statistical approach, and further linked back to the problem statement posed to the research study. The area of focus in the SMMEs was the usage of Computerised Accounting Systems which was selected because of its huge impact in the operation of most businesses. Computerised Accounting System forms the core of the business sustainability; it ensures that management is always abreast with information. Various literatures were reviewed regarding the usage of Accounting Systems and computerised accounting systems for SMMEs. The results provided an interesting outcome to conclude that the accounting systems being used by the SMEs around the MAP area poses less challenges to the operation of the businesses. It can also be concluded from the study that SMMEs around the MAP LM area are using accounting systems that collect and process data accurately and communicate information to the decision makers with no challenges. / MBA, North-West University, Potchefstroom Campus, 2015

No / The purpose of this paper is to describe an integrated manufacturing strategy for the deployment of a CAD/CAM system in a small, medium manufacturing enterprise (SMME). A case study of a SMME is utilised in deploying an integrated CAD/CAM system for practical application of manufacturing technology for achieving sustainable growth through lean systems design (LSD). The paper presents a techno‐economic and technology change management framework, with an application of a holistic set of lean deployment tools that include establishing a strategic and operational plan for implementing CAD/CAM systems as a means to achieving world‐class performance. The paper shows that the CAD/CAM integration within the case company increased knowledge of CAD/CAM technology, productivity, and flexibility whilst reducing throughput times. Based on the literature review and the current case study, a framework for ideal CAD/CAM implementation has been proposed. The paper also shows that management and organisational structures are key inhibitors for successful implementation of technology integration.

This Research was undertaken to explore and better understand the perceptions of SMME owners, in South Africa, of the financial and non financial barriers and facilitators to the formalization/transitioning process. The study was motivated by the lack of data on the South African context of the barriers and facilitators of the formalization process. The conversion of enterprises from informal to formal concerns is not well researched and understood. In the absence of hard data, experienced observers and practitioners in the small business field express extreme skepticism about the efficacy of attempts to convert informal businesses to formal ones, (Bernstein, 2004). The research was conducted, mostly in Alexandra township Johannesburg, by means of 20 in-depth, semi-structured, face to face interviews with SMME owners; 10 operating informally and 10 who formally were, but have since transitioned/formalized. The resulting findings showed that lack of access to information on formalization and limited access to cash or credit are the major non financial and financial barriers respectively. Improved access to information on formalization is the major non financial facilitator and ability to access a bigger market plus increased access to cash or credit are the major financial facilitators. These findings also indicate that there may be a difference in the barriers and facilitators to formalization in South Africa as compared to what’s reported internationally in the literature. / Dissertation (MBA)--University of Pretoria, 2010. / Gordon Institute of Business Science (GIBS) / unrestricted

Small businesses are regarded as economic growth engines with the potential to address the unemployment crisis in South Africa. The government has limited capacity to employ the majority of the unskilled and semi-skilled who are unemployed. Agencies and private organisations offering business development services (BDS) are required to assist small, medium and micro enterprises (SMMEs) help government to address unemployment. Small and medium enterprises (SMEs) are recognised for the crucial role they play in activating and supporting economic growth. While much attention and hope has been placed on SMEs to provide the much-needed jobs, they are faced with enormous challenges and continue to fail. These challenges make it impractical for SMEs to realise their full potential and deliver to the government's and society's expectations. It is documented that SMEs face unique problems, which negatively affect their prospects and as a result, weaken their capacity to contribute to sustainable economic growth. Government and other private sector stakeholders have availed various types of business support in South Africa both as financial and non-financial support to assist SMEs overcome these problems. There has also been an emergence of business development service providers (BDSPs) that seek to extend support to SMEs, to ensure their sustainability, improve production techniques, market access and increase competitiveness but this has not yielded the desired results. Business development services refer to services that improve the performance of the enterprise, its access to markets, and its ability to compete. This study sought to explore the nature of BDS offered to SMMEs with a view to help them remain sustainable. Further, the study explored the challenges faced by BDSP. The study used an inductive qualitative research approach and employed semi-structured interviews to collect data. The population of the study consisted of SME business development service providers in South Africa, with an eventual study sample size comprised of ten providers. The findings indicate that there is a range of services offered to SMEs, with training and technical assistance and market access being the focus areas. While providers offer these services to SMEs, they themselves experience various challenges such as internal challenges which include funding and resources; expertise and skills levels of providers; and design of services. In addition, there are external challenges such as payment inability of SMMEs; low market awareness; commitment to and from SMMEs; perceived value of BDS; finding the right clients; and the business operating environment, which hinder their service provision. iii The study concludes by providing recommendations on approaches that BDS providers can adopt to offer solutions to some of the identified challenges. These approaches include: developing sector-specific approaches in delivering business development service; attracting enterprise and supplier development funds as a possible strategy to solve the lack of resources in this sector; alignment of the Broad-Based Black Economic legislative framework to business development services strategies; introduction of professional standards and guidelines in the business development services sector and implementation of an impact assessment matrix.

Policymakers and scholars universally accept and recognise the influence of small, macro, and medium enterprises (SMMEs) on stimulating economic growth and job creation. South Africa in particular, has the challenge of a high unemployment rate, particularly among the youth, coupled with high inequality levels and stagnant economic growth over the recent years. These challenges have made the role of SMMEs even more important in South Africa. Despite the known importance of the influence of SMEs on the economy and the government initiatives to grow SMEs, SMEs continue to face challenges of access to finance and high failure rates in their start-up phases. Against this background, this study examined the key reasons SMMEs struggle to gain access to banking finance with the aim of understanding the root causes of those reasons. This study aimed to provide solutions to addressing the root causes of SMMEs inaccessibility to finance to narrowing the finance gap in this segment. The study employed the parallel convergent mixed methods approach that combined both qualitative and quantitative approaches in data collection and analysis. Convenient sampling was used to identify the SMMEs for quantitative research. The empirical evidence was collected using survey data. The survey was distributed among the SMMEs sampled. For qualitative research, purposeful sampling was used to identify the research participants. Four bank managers working specifically with SME finance were selected and approached for the research. Qualitative data was collected using semi-structured interviews. The study found that most SMMEs struggle to get access to finance with the majority citing a poor credit record as the main reason for being declined for credit. Most SMMEs are deterred from applying for banking finance and find the processes long and complicated. The study also found that the root cause of SMMEs low access to banking finance is a lack of education and understanding of bank processes and factors influencing their creditworthiness. These include poor governance by SMMEs and lack of proper bookkeeping. It is recommended that SMMEs upskill themselves with financial literacy and basic business management skills. Banks should find innovative ways of assessing creditworthiness for SMMEs and should consider other data sources. A collaboration between banks, government agents, and DFIs is advised.

Masters in Public Administration - MPA / A problem of the South African economy is the pervasive unemployment in particular amongst the black population. Double-digit unemployment figures had become the norm within post - apartheid South Africa. The newly elected government in 1994 identified the informal sector as a strategic growth area. The SMME sector was seen as unexplored and a potential conduit and possible answer to create employment opportunities and address the unemployment crisis. The question that guided the research was What are the challenges faced by the SMME sector, in particular black SMMEs, in becoming a sustainable and financially viable business? The study was qualitative in nature and the case methodology was used for this research. The key findings were that, there is an over - reliance on the business owner that in many instances, has very little business experience. Furthermore ,that government support programmes are not well known amongst the SMMEs. The major recommendations are that Government must provide the support to the SMME sector to become sustainable and contribute to employment creation. Government must explore the possibility of financially supporting the SMMEs. Lastly, that Government must review the regulatory and policy framework to reduce and create an enabling environment for SMMEs to grow and become lucrative.

Master of Arts - Human Geography / The purpose of the research report is to investigate the role that tourism plays in developing black-owned small enterprises and how it has contributed towards Black Economic Empowerment in the ten-year period between 1994 and 2004. The research drew from the aims of the Tourism White Paper and sought to review the problems and progress in transforming the tourism industry in South Africa and establish whether black entrepreneurs are making headways into an industry that can potentially change racial imbalance in economic control. The research was conducted among 40 black tour operators based mainly in Gauteng using a questionnaire. The report established that black tour operators, because of their previously disadvantaged background, are struggling to make an impact into the seemingly white-dominated industry.