Determination and Analysis of Obstacles of Innovation in Malaysian Food Processing SMEs

Suziyana, Mat Dahan and Mohd Yusof, Taib and Ahmad Nazif, Noor Kamar and Khairul Anwar, Hamzah (2014) Determination and Analysis of Obstacles of Innovation in Malaysian Food Processing SMEs. In: 2nd International Conference on Innovation Challenges in Multidisciplinary Research & Practice (ICMRP 2014 ), 17-18 December 2014 , Kuala Lumpur. pp. 1-8., 4 (8). ISSN 2277-3754 (Unpublished)

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Abstract

This paper discusses the innovation obstacles among Small and Medium Enterprises (SMEs). It aims to identify the main barriers of innovation in Malaysian food processing SMEs and seeking the best approach to overcome each of the barriers of innovation in Malaysian food processing SMEs. 163 sets of questionnaires were distributed among managers or owners of the food processing SMEs around Selangor, Malaysia and 77 responses had been collected and recorded. By using Statistical Package for the Social Sciences (SPSS), the result obtained by finding the mean value for each of the item assessed. From all the four barriers of innovation that had been studied like financial barrier, market barrier, organizational culture barrier and lack of information and skilled personnel barrier, it can be concluded that the financial barrier is the main barrier of innovation in Malaysian food processing SMEs. The financial barriers can be overcome by an easy financial loan application by the government for new machine or new equipment purchasing for SMEs. To eliminate the market factor barrier, the fear of failure need to be eliminated and be open minded. Next, the company has to give detail explanations about innovation to the employees to overcome the organizational culture barrier. Lastly to overcome the lack of information and skilled personnel barrier, more training, skills and knowledge program and workshops related to innovation for SMEs need to be held by government agencies. Both research objectives have been achieved and the findings are mainly benefit the SMEs practitioners and also related government agencies in restructuring the strategies towards more efficient innovation adoption and implementation.

Item Type: Conference or Workshop Item (Speech)
Uncontrolled Keywords: Barriers of Innovation, Small and Medium Enterprise, Methods of Overcoming Innovation Barriers
Subjects: H Social Sciences > HD Industries. Land use. Labor
Faculty/Division: Faculty of Industrial Management
Faculty of Mechanical Engineering
Depositing User: Noorul Farina Arifin
Date Deposited: 03 Apr 2015 05:51
Last Modified: 04 Jun 2020 07:02
URI: http://umpir.ump.edu.my/id/eprint/8873
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