Key Success Factors for Small and Medium Enterprises

1. Key Success Factors for Small and
Medium Enterprises

2. Introduction
This research has been conducted on the basis of the exploratory
research as we have referred to the information of previous studies
and data to figure out the major success factors that can affect any
small and medium enterprises.

3. Abstract
Since the last century, SME`s began to affect most of the countries'
economy. It is almost certain that it can’t reach a specific definition
of the SMEs. Hence, SMEs have no exact definition thus, it differ
from country to another depending on the country’s understanding
& acceptance of concept.
The World Bank:
Small facility has employs fewer than 50 workers.

4. Research Objectives
According to the importance of the SMEs sector all over the world, its impact on the
global economy, the direction of most states to encourage small and medium
projects, and the direction of the banks for funding them, we need to:
Exploring the success factors of these projects and how to control the
implementation of SME`s processes to avoid problems or projects failure.

5. Research Importance
Thirty years ago, the important of these enterprises become to show up and affect
the economy and support the countries in most of the developing countries, which
led to most of the countries government’s tend to help and support these enterprises
by set programs and systems to finance and support them to provide more work
opportunities, improve the social and economic life for the country.

6. Literature Review
 Papers about SME`s from Malaysia ‘’SME`s Experience in Malaysia”.
 Papers from Egyptian banking institute (EBD) about the SME`s with
title ‘’Determines of success of small and medium enterprises
(SME`s).
 From World Bank ‘’ Small and medium enterprises across country
analysis with new data set” Jan 2011.
 Small and medium enterprises with its boundaries and importance for
Dr. Maher Hassan El-mahrok.
 Personal experiences from working in banking sector.

7. Problem Statement
This research is very important as it will dig to identify the success factors in small
businesses and especially the common factors which applies in most of businesses
regardless the business field and country.
Besides some emphasis on developing countries, those factors besides each project
specific factors if carefully taken into consideration should lead to the business
success !

8. Research Questions
1. From which aspect we could judge on the business weather it is successful or not?
2. Why some small businesses are successful and some others are not?
3. Do success factors in small business are the same in all fields and countries?
4. What are the most common success factors in small businesses?
5. What are the successes factors in small businesses in developing countries??

9. Variables
According to the literature review findings, most important variables have been
selected by which they explain the SME`s success factor, the success of the SME`s as a
Dependent Variable.
This list is based on a collective reading of the previous studies literature reviews.

10. Key Success Factors
Source of
capital
Planning
Enterprise Size
Company
Creation
Perceptual
Focus
Actions of a
Board
Management
Information
Systems (MIS)
Human
resources
development
Organizational
Structure
Market
Orientation
Owner /
manager
training
Entrepreneur
Age
External
environment-related
factors
Owner`s
Motivation

11. External
environment-related
factors
Independent
variables
Planning
Market
orientation
Owner /
manager
training
Key Success Factors
Human
resources
development
Management
Information
Systems (MIS)

12. Research Design
Our research relied on Secondary Data; it has been a in-depth journey among a lots of
resources in an attempt to decode by exploring which has led us to the truth behind the
success of SMEs which is:
 Identify Key Success Factors.
 Arrange Key Success Factors by influence & by Effect degree.
Data Sources:
 Financial Strategy Institute.
 Banking Institute.
 World Bank’s Papers & Magazine.
 International Monetary Fund’s Papers & Magazine.
 African Development Bank’s Papers & Magazine.
 Personal experience.

13. Conclusion
From our point of view, we believe that there must be some general framework to the
success of SMEs across the globe.

14. Recommendations
1. Try to study the Business profitability, sustainability means to keep the improvement scale leading to an on-going
growth leverage.
2. There are factors that are common across borders not so apparent in different fields, of which we believe that we
have shown:
I. Capital management
II. Objectives achievement
III. Future Planning.
IV. Efficient Enterprise Size.
V. Unique Company Creation.
VI. Intelligent Market Orientation
These could be only reached by strong, capable & experienced staff; either top management or employees

15. Thanks for your attention…….