Risk sources, agility strategy and company performance among manufacturing small and medium enterprises in Malaysia

Small and Medium Enterprise (SME), with its significant contribution to a country’s economy is gaining a corresponding interest from the research community. However, SMEs face numerous risks that could affect their performance resulting in its inability to rise to its full potential. Thus, this pape...

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Main Authors: Yaakub, Sabariah, Mustafa, Hamidatun Khusna
Format: Article
Language:English
Published: UUM Press 2022
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Online Access:https://repo.uum.edu.my/id/eprint/30031/1/GBMR%2014%2001%202022%2020-37.pdf
https://doi.org/10.32890/gbmr2022.14.1.2
https://repo.uum.edu.my/id/eprint/30031/
https://e-journal.uum.edu.my/index.php/gbmr/article/view/16708
https://doi.org/10.32890/gbmr2022.14.1.2
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spelling my.uum.repo.300312023-11-28T11:18:27Z https://repo.uum.edu.my/id/eprint/30031/ Risk sources, agility strategy and company performance among manufacturing small and medium enterprises in Malaysia Yaakub, Sabariah Mustafa, Hamidatun Khusna HF Commerce Small and Medium Enterprise (SME), with its significant contribution to a country’s economy is gaining a corresponding interest from the research community. However, SMEs face numerous risks that could affect their performance resulting in its inability to rise to its full potential. Thus, this paper seeks to study the effect of risk sources (innovation and technology adoption risk, infrastructure risk and legal and regulation environment risk) towards company performance while introducing agility strategy in improving performance. Data was collected through a survey to Malaysian SME manufacturing companies yielding a response from 152 companies. Data were analysed using PLS-SEM. Findings indicate that innovation and technology adoption risk and legal and regulation environment risk have a significant effect on company performance. Meanwhile, the introduction of agility strategy does indicate a role in improvement of company’s performance in handling these risk sources. It would seem that agility strategy plays an effective role in mitigating risks therefore improving SME’s performance, contributing to knowledge of effective mitigating strategies in the field of risk management in supply chain for SMEs. UUM Press 2022 Article PeerReviewed application/pdf en cc4_by https://repo.uum.edu.my/id/eprint/30031/1/GBMR%2014%2001%202022%2020-37.pdf Yaakub, Sabariah and Mustafa, Hamidatun Khusna (2022) Risk sources, agility strategy and company performance among manufacturing small and medium enterprises in Malaysia. Global Business Management Review (GBMR), 14 (1). pp. 20-37. ISSN 2180-2416 https://e-journal.uum.edu.my/index.php/gbmr/article/view/16708 https://doi.org/10.32890/gbmr2022.14.1.2 https://doi.org/10.32890/gbmr2022.14.1.2
institution Universiti Utara Malaysia
building UUM Library
collection Institutional Repository
continent Asia
country Malaysia
content_provider Universiti Utara Malaysia
content_source UUM Institutional Repository
url_provider http://repo.uum.edu.my/
language English
topic HF Commerce
spellingShingle HF Commerce
Yaakub, Sabariah
Mustafa, Hamidatun Khusna
Risk sources, agility strategy and company performance among manufacturing small and medium enterprises in Malaysia
description Small and Medium Enterprise (SME), with its significant contribution to a country’s economy is gaining a corresponding interest from the research community. However, SMEs face numerous risks that could affect their performance resulting in its inability to rise to its full potential. Thus, this paper seeks to study the effect of risk sources (innovation and technology adoption risk, infrastructure risk and legal and regulation environment risk) towards company performance while introducing agility strategy in improving performance. Data was collected through a survey to Malaysian SME manufacturing companies yielding a response from 152 companies. Data were analysed using PLS-SEM. Findings indicate that innovation and technology adoption risk and legal and regulation environment risk have a significant effect on company performance. Meanwhile, the introduction of agility strategy does indicate a role in improvement of company’s performance in handling these risk sources. It would seem that agility strategy plays an effective role in mitigating risks therefore improving SME’s performance, contributing to knowledge of effective mitigating strategies in the field of risk management in supply chain for SMEs.
format Article
author Yaakub, Sabariah
Mustafa, Hamidatun Khusna
author_facet Yaakub, Sabariah
Mustafa, Hamidatun Khusna
author_sort Yaakub, Sabariah
title Risk sources, agility strategy and company performance among manufacturing small and medium enterprises in Malaysia
title_short Risk sources, agility strategy and company performance among manufacturing small and medium enterprises in Malaysia
title_full Risk sources, agility strategy and company performance among manufacturing small and medium enterprises in Malaysia
title_fullStr Risk sources, agility strategy and company performance among manufacturing small and medium enterprises in Malaysia
title_full_unstemmed Risk sources, agility strategy and company performance among manufacturing small and medium enterprises in Malaysia
title_sort risk sources, agility strategy and company performance among manufacturing small and medium enterprises in malaysia
publisher UUM Press
publishDate 2022
url https://repo.uum.edu.my/id/eprint/30031/1/GBMR%2014%2001%202022%2020-37.pdf
https://doi.org/10.32890/gbmr2022.14.1.2
https://repo.uum.edu.my/id/eprint/30031/
https://e-journal.uum.edu.my/index.php/gbmr/article/view/16708
https://doi.org/10.32890/gbmr2022.14.1.2
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score 13.211869