•  
  •  
 

Author ORCID Identifier

0000-0002-1403-0206

Article Classification

Sustainable Development

Abstract

This paper describes a business coaching activity for small and medium enterprises (SMEs) in chemical and waste management industries. Based on the analysis results, there was a lack of budgeting practice and suboptimal catalog marketing that comprised the majority of existing problems in SMEs. This research aims to assist the SME in improving its budgeting practice and product catalog. The method used is a qualitative method based on a business coaching approach. The research instruments adopted included in-depth individual interviews (IDI). The collected data was then processed and analyzed, starting with generating the SME's business process and service blueprint, followed by the business model canvas. Next, the paper also covers external and internal analyses, followed by the Gap and Pareto analyses to identify the priority issues. The owners of the SME have set a target to expand their business. However, various shortcomings can hinder the business. Most research finds that SMEs usually tend to be characterized by less financial planning, including the SME in this research. Many kinds of literature debate how to develop a budgeting process for SMEs as the vast majority of literature on management accounting for SMEs is still under-researched. Formulating a meaningful operating budget can give the business clear goals. The second issue is related to the catalog, which is one of its critical marketing channels. However, the catalog has not yet been enriched with better-quality content compared to the competitors. The research results have the potential to deliver positive improvements for SMEs across similar cases. Further, the contribution of this study may guide owners of businesses and policy-makers on how to develop guidance for SMEs to solve their issues with practical assistance in the future.

References

Abd-Elmageed, M. H., Abdel Megeid, N. S., & Riad, N. M. A. H. (2020). Impact of Operational Efficiency and Financial Performance on Capital Structure using Earnings Management as a Moderator Variable. الفکر المحاسبى, 24(3), 1029-1059. https://doi.org/10.21608/atasu.2020.160431

Al-Sada, M., Al-Esmael, B., & Faisal, Mohd. N. (2017). Influence of organizational culture and leadership style on employee satisfaction, commitment and motivation in the educational sector in Qatar. EuroMed Journal of Business, 12(2), 163-188. https://doi.org/10.1108/EMJB-02-2016-0003

Altıntas, F., Kurtulmusoglu, F. B., Altintas, M. H., Kaufmann, H.-R., & Alkibay, S. (2017). The mediating effects of adaptive selling and commitment on the relationship between management control and sales performance. EuroMed Journal of Business, 12(2), 221-240. https://doi.org/10.1108/EMJB-12-2016-0037

Armitage, H. M., Webb, A., & Glynn, J. (2016). The Use of Management Accounting Techniques by Small and Medium-Sized Enterprises: A Field Study of Canadian and Australian Practice. Accounting Perspectives, 15(1), 31-69. https://doi.org/10.1111/1911-3838.12089

Baik, B., Chae, J., Choi, S., & Farber, D. B. (2013). Changes in Operational Efficiency and Firm Performance: A Frontier Analysis Approach. Contemporary Accounting Research, 30(3), 996-1026. https://doi.org/10.1111/j.1911-3846.2012.01179.x

Barry, J., & Weinstein, A. (2009). Business psychographics revisited: from segmentation theory to successful marketing practice. Journal of Marketing Management, 25(3-4), 315-340. https://doi.org/10.1362/026725709X429773

Bauer, T., Erdogan, B., & Short, J. (2018). Principles of Management. FlatWorld.

Baye, M. R., & Prince, J. T. (2017). Managerial Economics and Business (9th ed.). McGraw-Hill Education.

Bhatnagar, A., & Papatla, P. (2016). Increasing online sales by facilitating spillover shopping. Journal of Retailing and Consumer Services, 29, 58-69. https://doi.org/10.1016/j.jretconser.2015.11.009

Cooper, D., & Schindler, P. (2014). Business Research Methods (12th ed.). McGraw-Hill.

Dessler, G. (2017). Human Resource Management. Pearson Education.

DWS Associates. (2021). Catalog Marketing. https://www.dwsassociates.com/reference-center/catalog-marketing-ecommerce- retail/catalog-design/

Erdös, T., de Haan, E., & Heusinkveld, S. (2021). Coaching: client factors & contextual dynamics in the change process. Coaching: An International Journal of Theory, Research and Practice, 14(2), 162-183. https://doi.org/10.1080/17521882.2020.1791195

Gamble, J. E., Margaret A. P., & Arthur A. Thompson, J. (2015). Essentials of Strategic Management.

Gan, G. C., Chong, C. W., Yuen, Y. Y., Yen Teoh, W. M., & Rahman, M. S. (2021). Executive coaching effectiveness: towards sustainable business excellence. Total Quality Management & Business Excellence, 32(13-14), 1405-1423. https://doi.org/10.1080/14783363.2020.1724507

Gill, A., Singh, M., Mathur, N., & Mand, H. S. (2014). The Impact of Operational Efficiency on the Future Performance of Indian Manufacturing Firms. International Journal of Economics and Finance, 6(10). https://doi.org/10.5539/ijef.v6n10p259

Hansen, D. R., & Mowen, M. M. (2006). Cost management : accounting and control, 5e (6th ed.). Thomson/South-Western.

Heizer, J., Render, B., & Musson, C. (2019). Operations Management: Sustainability and Supply Chain Management (13th ed.). Pearson Education.

Hui, R. T., & Sue-Chan, C. (2018). Variations in coaching style and their impact on subordinates’ work outcomes. Journal of Organizational Behavior, 39(5), 663-679. https://doi.org/10.1002/job.2263

Idris, M. M. bin, & Bakar, S. bin A. (2020). Perceived Usefulness of Business Coaching on the Relationship between Entrepreneurial Competencies and Business Success. The Journal of Asian Finance, Economics and Business, 7(10), 329-338. https://doi.org/10.13106/jafeb.2020.vol7.n10.329

Indonesian Ministry of Cooperatives and SMEs. (2019). Perkembangan Data Usaha Mikro, Kecil, Menengah (UMKM), dan Usaha Besar (UB) Tahun 2017-2018. http://kemenperin.go.id

Indonesian Ministry of Industry. (2020a). Analisis Perkembangan Industri Non Migas Indonesia 2020 Edisi IV.

Indonesian Ministry of Industry. (2020b). Booklet Informasi Industri. https://kemenperin.go.id/

Kanghwa, C. (2010). From operational efficiency to financial efficiency. Asian Journal on Quality, 11(2), 137-145. https://doi.org/10.1108/15982681011075943

Karani, W. J., Aosa, E., Awino, B. Z., & Njihia, J. (2018). Intervening Role of Operational Efficiency on the Relationship between Business Process Outsourcing and Performance of Oil and Gas Distribution Firms in Kenya. Journal of Finance and Accounting, 2(1), 1-18. https://stratfordjournals.org/journals/index.php/journal-of-accounting/article/view/134

Kotler, P., & Armstrong, G. (2016). Principles of Marketing (16th ed.). Essex Pearson Education Limited.

Kreitner, R., & Kinicki. (2016). Organizational Behavior. McGraw-Hill/Irwin.

Kurz, A., Reddy, L. A., & Glover, T. A. (2017). A Multidisciplinary Framework of Instructional Coaching. Theory Into Practice, 56(1), 66-77. https://doi.org/10.1080/00405841.2016.1260404

The Indonesian Institute of Sciences (LIPI). (2015). Technological Catch-up Industri Farmasi Indonesia.

Lovelock, C., & Wirtz, J. (2018). Essentials of Service Marketing. Pearson Education Limited.

Maamari, B., el Achi, S., Yahiaoui, D., & Nakhle, S. F. (2022). The effect of coaching on employees as mediated by organisational citizenship behaviour: case of Lebanon. EuroMed Journal of Business, 17(1), 21-45. https://doi.org/10.1108/EMJB-06-2020-0059

Malhotra, N. K. (2010). Marketing Research: An Applied Orientation (6th ed.). Pearson.

Mark, T., Bulla, J., Niraj, R., Bulla, I., & Schwarzwäller, W. (2019). Catalogue as a tool for reinforcing habits: Empirical evidence from a multichannel retailer. International Journal of Research in Marketing, 36(4), 528-541. https://doi.org/10.1016/j.ijresmar.2019.01.009

Masurel, E., & H. Smit. (2000). Planning behavior of small firms in Central Vietnam. Journal of Small Business Management, 38(2), 95-102. https://www.proquest.com/docview/220999631?pq-origsite=gscholar&fromopenview=true

McLellan, J. (2014). Management accounting theory and practice: measuring the gap in United States businesses. Journal of Accounting, Business and Management, 21(1), 53-68. https://papers.ssrn.com/sol3/papers.cfm?abstract_id=2270071

Merrilees, B., & Fenech, T. (2007). From catalog to Web: B2B multi-channel marketing strategy. Industrial Marketing Management, 36(1), 44-49.

https://doi.org/10.1016/j.indmarman.2006.06.014

Osterwalder, A., & Pigneur, Y. (2010). Business Model Generation. John Wiley & Sons.

Osterwalder, A., Pigneur, Y., Bernarda, G., Smith, A., & Papadakos, T. (2019). Value Proposition Design.

Rekarti, E., & Caturida. (2017). Improving Business Performance: A Proposed Model for SMEs. European Research Studies Journal, 20(3A), 613-623. https://doi.org/10.35808/ersj/732

Ross, S. A., Westerfield, R. W., & Jordan, B. D. (2019). Fundamentals of Corporate Finance.

Rothaermel, F. T. (2021). Strategic Management. McGraw-Hill Education.

Rudianto. (2013). Akuntansi manajemen: Informasi untuk pengambilan keputusan strategis. Erlangga.

Ruiz, T. N., & Collazzo, P. (2021). Management accounting use in micro and small enterprises. Qualitative Research in Accounting & Management, 18(1), 84-101. https://doi.org/10.1108/QRAM-02-2020-0014

Santoro, G., Ferraris, A., & Winteler, D. J. (2019). Open innovation practices and related internal dynamics: case studies of Italian ICT SMEs. EuroMed Journal of Business, 14(1), 47-61. https://doi.org/10.1108/EMJB-05-2018-0031

Shields, J., & Shelleman, J. M. (2016). Management Accounting Systems in Micro-SMEs. The Journal of Applied Management and Entrepreneurship, 21(1), 19-31. https://doi.org/10.9774/GLEAF.3709.2016.ja.00004

Shim, J. K., Siegel, J. G., & Shim, A. I. (2012). Budgeting Basics and Beyond.

Solomon, M. R., Greg W. Marshall, & E. W. Stuart. (2015). Marketing: Real People, Real Choices (8th ed.). Pearson.

Sridhar, K., Kumar, A., & Bezawada, R. (2021). Investigating cross-media effects in a multichannel marketing environment: the role of email, catalog, television, and radio. Marketing Letters. https://doi.org/10.1007/s11002-021-09592-6

Stevens, R. E., David L. Loudon, Philip K. Sherwood, & John Paul Dunn. (2016). Market Opportunity Analysis: Text and Cases. Haworth Press.

Stone, B., & Jacobs, R. (2008). Successful Direct Marketing Methods (8th ed.). McGraw-Hill Education.

Stout-Rostron, S., van Rensburg, M. J., & Sampaio, D. M. (2019). Business Coaching International: Transforming Individuals and Organizations (2nd ed.). Routledge.

Szabó, S., Slavić, A., & Berber, N. (2019). Coaching and its effects on individual and organizational performances in Central and Eastern Europe. Anali Ekonomskog Fakulteta u Subotici, 41, 67-80. https://doi.org/10.5937/AnEkSub1941067S

Uma, S. (2016). Research Methods for Business: A Skill-Building Approach. John Wiley & Sons.

Walker, O., & Mullins, J. (2014). Marketing Strategy: A Decision-Focused Approach Marketing Strategy: A Decision-Focused Approach (8th ed.). McGraw-Hill.

Weinstein, A. (2014). Handbook of Market Segmentation. The Haworth Press.

Zhang, J. Z. (2020). Why Catalogs Are Making a Comeback. Harvard Business Review. https://hbr.org/2020/02/why-catalogs-are-making-a-comeback

Zuñiga-Collazos, A., Castillo-Palacio, M., Montaña-Narváez, E., & Castillo-Arévalo, G. (2020). Influence of managerial coaching on organisational performance. Coaching: An International Journal of Theory, Research and Practice, 13(1), 30-44. https://doi.org/10.1080/17521882.2019.1619795

Download

Share

COinS
 
 

To view the content in your browser, please download Adobe Reader or, alternately,
you may Download the file to your hard drive.

NOTE: The latest versions of Adobe Reader do not support viewing PDF files within Firefox on Mac OS and if you are using a modern (Intel) Mac, there is no official plugin for viewing PDF files within the browser window.