Summary of the Study
Empowering SMEs for Sustainable Growth
Small and Medium Enterprises (SMEs) are the backbone of many economies, driving growth, innovation, and employment. In Pakistan, where SMEs contribute 40% to the national GDP, a staggering 80% failure rate underscores the need for effective strategies to ensure their survival and success. A recent study titled “Skills and Strategic Planning: Unveiling the Nexus in SMEs – A Case Study” explores how various skills and strategic planning interplay to enhance SME performance in Punjab, Pakistan.
Key Findings
1. The Role of Multiple Skills:
• Managerial Skills: Effective management, resource allocation, and strategic goal-setting significantly influence organizational success.
• Entrepreneurial Skills: Innovation, risk-taking, and creativity are pivotal in building sustainable business strategies.
• Business Skills: Day-to-day operations, resource planning, and networking are critical for maintaining organizational stability.
• Technical Skills: Surprisingly, the study found no significant link between technical skills and strategic planning in the SME context.
2. Strategic Planning as a Mediator:
• Strategic planning bridges the gap between skills and performance, translating individual competencies into actionable business strategies.
• It mediates the relationship between managerial, entrepreneurial, and business skills with firm performance but not for technical skills.
3. Performance Metrics:
• Firms that embrace strategic planning report improved profitability, growth, and overall performance, underscoring its importance as a key driver of success.
Implications for SMEs
• For Business Owners and Managers:
• Invest in skill development programs focused on managerial, entrepreneurial, and business skills.
• Leverage strategic planning to align resources with long-term organizational goals.
• For Policymakers:
• Provide financial and training support to SMEs, enabling them to adopt strategic planning and enhance their contribution to the economy.
• For Researchers:
• Investigate the specific barriers preventing SMEs from integrating technical skills into strategic planning.
Why This Matters
This study highlights the untapped potential of strategic planning in transforming Pakistan’s SME landscape. By fostering a culture of planning and skill enhancement, SMEs can overcome high failure rates and contribute more significantly to national development.
Explore the full study in the Journal of Intercultural Communication for detailed insights into how skills and strategic planning can redefine SME success. Let’s pave the way for a thriving SME sector in Pakistan!
https://doi.org/10.36923/jicc.v24i1.94
Sustainable Development Goals
Sustainable Development Goals mapped to this document
Partnership for the goals | Goal 17
Dr. Israr Ahmad is a dedicated academic and management professional, currently engaged as a Post-Doctoral Fellow at Universiti Sains Malaysia’s School of Management. With a doctorate from Universiti Utara Malaysia, he has 6 years of combined experience in industry and academia. Dr. Ahmad has made significant contributions to the field with 20 research publications in renowned national and international journals, and actively participates in editorial capacities. His research interests innovation management, strategic management, and organizational development. Committed to using his expertise in education, research, and analytics, Dr. Ahmad aspires to elevate underprivileged communities through advanced management education, advocating for higher enrollment and curriculum modernization in higher education. His post-doctoral work continues to build on his vision of merging research with practical applications to benefit society sustainably.
