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KEY DETERMINANT FACTORS AFFECTING THE PERFORMANCE OF SMALL AND MEDIUM SCALE MANUFACTURING ENTERPRISE: A CASE STUDY ON WEST
Abstract: This study was focused on the assessment of key determinant factors affecting small- and medium scale manufacturing enterprise (SSME). The study was conducted in west Shoa Zone Districts Oromia National State, Ethiopia. From a total population of N=696 wood work and metal work manufacturing enterprise among 18 districts, a sample size of (n= 153) were selected through simple random sampling techniques. Based on the literature review and conceptual frame work developed eight hypothesis were developed and tested. Eight independent variables considered are labor and personal factors, material factors, equipment and machinery factors, marketing ingredient, production techniques, product quality factors, productivity factors, other factors and dependent variables organizational performance. The results were presented in the form of mean, standard deviation, Pearson correlation, ANOVA and regression analysis. The finding of the study shows that seven independent variables accounted 78.7% for the performance of the enterprise. Five factors shows the positive effect and statistically significant determinants for the performance of the firm except production techniques, equipment and machinery factors.
Keywords— Small and Medium Scale Manufacturing
Enterprise; Organisational Performance; Correlation Analysis;
Multiple Linear Regression