An evaluation of business support services to SMMEs in the Free State
| dc.contributor.advisor | Van Zyl, J. H. | |
| dc.contributor.advisor | Marais, J. G. L. | |
| dc.contributor.author | Mathibe, Motshedisi S. | |
| dc.date.accessioned | 2015-11-23T12:17:12Z | |
| dc.date.available | 2015-11-23T12:17:12Z | |
| dc.date.issued | 2010 | |
| dc.description | Dissertation (M.Com.(Business Management))--University of the Free State, 2010 | en_ZA |
| dc.description.abstract | Afrikaans: Gedurende die afgelope twintig jaar was daar belangrike veranderinge in die manier waarop sakeondersteuningsdienste in die internasionale ekonomie gelewer is. Hierdie verskuiwings het nuwe insigte in die proses van sakeondersteuningsdienste gebring. Ses hoofveranderinge in die benadering tot sakeondersteuning is geïdentifiseer. Eerstens, is permanente regerings- of skenkersbefondsing vervang deur „n bloot beginbenadering tot befondsing om volhoubare sakeondersteuningsdienste te lewer. Tweedens, het ʼn wye reeks markgedrewe en markgeprysde dienste, wat gelewer is teen ʼn gehalte/prysmengsel wat deur eindgebruikers gelewer en bepaal is, die hoë koste van ʼn beperkte reeks dienste wat gewoonlik gesubsidieer is, vervang. Derdens, toon geskiedkundige literatuur dat die owerheid en skenkers nie alle klein ondernemings nie, maar slegs ʼn beperkte aantal kon bereik. ʼn Geteikende kliëntbenadering is dus gevolg ten einde die owerheid en skenkers in staat te stel om die ondernemings doeltreffend te bereik. Hierdie paradigmaskuif was om ʼn klem te plaas op diensverskaffers in die privaatsektor. In die vierde plek het die klem van armoede se impak vanaf korttermynvoordele na langtermynvoordele vir verskaffers en kliënte verander, wat weens werkverskaffing indirek tot voordeel van die armes is. Verder is die hoofsaaklik manlike kliënte vervang deur kleinondernemingseienaars, insluitend vrouens. In die laaste plek was daar ʼn betekenisvolle skuif na vraaggedrewenheid ten opsigte van ondernemings se behoeftes. Die gevolg was dat die reeks dienste uitgebrei en meestal op ʼn kostevervangingsbasis gelewer is. Teen hierdie agtergrond poog die Suid-Afrikaanse klein medium en makro-ondernemingsbeleid (KMMO) om die kwessies van KMMO-ondersteuning en -ontwikkeling in die land aan te spreek. KMMO‟s het gedurende die apartheidsbewind in Suid-Afrika funksioneer, maar dit het nie voldoende ondersteuning en prioriteit geniet nie. Voor die demokratiese veranderinge het die Suid-Afrikaanse regering hoofsaaklik aandag aan groot ondernemings en staatsondernemings geskenk. Die Suid-Afrikaanse regering het eers in die laat 1970's en vroeë 1980‟s die belangrikheid van die kleinsakesektor en sy bydraes tot die land se ekonomie besef. Die demokratiese bewind van die vroeë 1990‟s het aan KMMO‟s geleenthede gegee om aan die Suid-Afrikaanse ekonomie deel te neem. In 1995 het ʼn witskrif verskyn met die strategie om KMMO‟s in Suid-Afrika te bevorder en te ontwikkel, en om ʼn KMMO-beleid in Suid-Afrika te ontwerp om die fokus en aandag op die ondersteuning en ontwikkeling van KMMO's te vestig. Die doel was om KMMO's te ontwikkel as ʼn manier om groei en balans in die ekonomie te skep (weg van ondernemings wat aan die owerheid behoort en groot ondernemings). Die gevolg was dat verskillende ondersteuningsmeganismes geïmplementeer is om KMMO‟s in die land te ondersteun en te ontwikkel, sedert die demokratiese regering in 1994 in werking getree het. Die studie het hoofsaaklik op die Vrystaatprovinsie gefokus, met die doel om te identifiseer hoe die KMMO-beleid beoog om die kwessies van ondersteuning en ontwikkeling van die KMMO‟s aan te spreek en hoe die sakeondersteuningsprogramme die KMMO‟s in die provinsie kan ontwikkel en ondersteun. Sommige van die empiriese bevindings het daarop gedui dat die wêreldwye verskuiwing in sakeondersteuningsprogramme nie altyd na Suid-Afrika deurgevloei het nie. Beleide is derhalwe grootliks ontwerp om die gelykberegtigingskwessies aan te spreek wat met KMMO‟s verband hou. Die inherente benadering van beleid en praktyk was dus aan die aanbodkant en nie aan die vraagkant nie. As gevolg hiervan is nie al die lesse uit die internasionale ervaring ingesluit nie. Verder het die KMMO-beleid en -praktyk beperkte sukses gehad en in baie gevalle was dit nie meetbaar nie, weens die afwesigheid van toepaslike M&E stelsels. Om op te som, beveel die studie aan dat daar ʼn behoefte bestaan aan sakeondersteuningsprogramme om direk meer uit die internasionale paradigmas en praktyke te leer en om die toepaslike sakeondersteuningspraktyke toe te pas ten einde KMMO's in die Vrystaat te ontwikkel en in die proses die KMMO-beleid in oënskou te neem en dit hoofsaaklik te laat fokus op die vraaggedrewe benadering. Die studie beveel verder aan dat daar M&E stelsels beskikbaar sal wees om die gehalte van dienslewering aan KMMO‟s te dokumenteer en te verseker dat in ooreenstemming met internasionale standaarde is. | af |
| dc.description.abstract | English: In the past twenty years there has been major change in the way business support services are rendered in the global economy. These shifts have brought new insights into the process of business support services. Six main changes in the approach to business support were identified. First, permanent government or donor funding was replaced by a mere start-up funding approach in order to provide sustainable business support services. Second, a larger range of market-driven and market-priced services that were delivered at a quality/price mix determined by end-users replaced the high costs of a limited range of services that used to be subsidised. Third, historically, literature shows that government and donors could not reach all small business but a limited number, and therefore a targeted client approach was introduced in order for the government and donors to reach them effectively. This paradigm shift was intended to place an emphasis on service providers in the private-sector. Fourth, the emphasis on the impact of poverty changed from one of short-term benefits to one of long-term benefits to providers and clients, indirectly benefiting the poor through job creation. Next, the mainly male clientele was replaced by small-enterprise owners which included females. Finally, there was a significant shift towards being demand-driven in respect of the needs of enterprises. This meant both that the range of services was expanded and that they were mostly delivered on a cost-recovery basis. It is against this background that South African Small Micro and Medium Enterprise (SMME) policy aims to address the issues of SMME support and development in the country. SMMEs in South Africa were operating in the era of the apartheid regime but were not given enough support and were not a priority. Before democratic transition, the South African government was mainly giving attention to large businesses as well as state-owned enterprises. It was only in the late 1970s and the early 1980s that the South African government realised the importance of the small enterprise sector and its contribution to the country‟s economy. The democratic regime of the early 1990s gave SMMEs an opportunity to participate in the South African economy. A White Paper of 1995 came up with the strategy to promote and develop SMMEs in South Africa and to design an SMME policy framework that will focus its attention on supporting and developing SMMEs. The aim was to enable SMMEs to grow as a way of creating a balance in the economy (away from state-owned and large enterprises) As a result, different support mechanisms have been implemented to support and develop SMMEs in the country since the democratic government took over in 1994. The study focused primarily in the Free State Province, aiming to identify how the SMME policy intends to address the issues of supporting and developing SMMEs, and how the business support programmes assist in supporting and developing SMMEs in the province. Some of the empirical findings suggest that the world-wide shifts in business support programmes have not always filtered through to South Africa. Therefore policies were largely designed to address the equity issues related to SMMEs. The inherent approach of policy and practice was thus on the supply side and not on the demand side. Consequently, not all the lessons from the international experience were incorporated. In addition, the SMME policy and practice have had limited success and in many cases not measurable due to the absence of appropriate M&E systems. In conclusion, the study recommend that there is a need for business support programmes to learn more directly from the international paradigms and practice and apply the relevant practices of business support services in order to develop and promote SMMEs in the Free State and in the process review the SMME policy and make it focus mainly on the demand-driven approach. Moreover, the study recommends that there should be M&E systems available to document the quality of the service delivery to SMMEs in order to ensure compliance with the international standards. | en_ZA |
| dc.identifier.uri | http://hdl.handle.net/11660/1719 | |
| dc.language.iso | en | en_ZA |
| dc.publisher | University of the Free State | en_ZA |
| dc.rights.holder | University of the Free State | en_ZA |
| dc.subject | Small business -- South Africa -- Free State | en_ZA |
| dc.subject | Small business -- South Africa -- Free State -- Finance | en_ZA |
| dc.subject | Financial support and non-financial support | en_ZA |
| dc.subject | Demand-driven approach | en_ZA |
| dc.subject | Supply driven approach | en_ZA |
| dc.subject | Business support programmes | en_ZA |
| dc.subject | Business support services | en_ZA |
| dc.subject | Entrepreneurs | en_ZA |
| dc.subject | SMMEs | en_ZA |
| dc.title | An evaluation of business support services to SMMEs in the Free State | en_ZA |
| dc.type | Dissertation | en_ZA |