An Inevstigation Into Strategic Management Issues And Challenges Of Service-Based MSMEs In Brunei Darussalam / Chin Han Wuen.

Submitted in partial fulfillment of the requirements for the degree of Doctor of Philosophy

ABSTRACT
The prevalence of strategic management theories, which are developed from the behavior of large business organizations, has become problematic as limited information can be related to the micro, small and medium enterprises (MSMEs). Drawing from this knowledge gap, this research study incorporated Resource-Based View to investigate the impact of strategic human resource management (SHRM) and organizational learning on the organizational performance of service-based MSMEs in Brunei Darussalam. This research study also adopted Contingency Theory and Organizational Alignment Theory by introducing competitive strategy as the mediating variable to explain the inconsistent results on the relationship between SHRM, organizational learning and organizational performance from past studies. This current study utilized a mixed-methods research design divided into two phases, namely questionnaire survey and case study interviews. In Phase One, through simple random sampling, 396 questionnaires were distributed to the service-based MSMEs, in which, 275 questionnaires were deemed appropriate for further analysis. The research hypotheses, derived from the study's theoretical framework, were tested using Partial Least Squares Structural Equation Modeling. The findings from questionnaire survey affirmed SHRM and organizational learning significantly impact organizational performance. Subsequently, competitive strategy served as the partial mediating variable for the relationship between SHRM, organizational learning and organizational performance. The findings suggest SHRM and organizational learning strengthen the employees as the strategic resource of service-based MSMEs to improve organizational performance. The findings further indicate competitive strategy influenced the development of SHRM and organizational learning of the service-based MSMEs. In Phase Two, through convenience sampling, case study interviews were conducted on six MSME owners/managers. Within-case analysis was conducted on each MSME to identify the main themes of research variables. This is followed by cross-case analysis to compare the impact of each identified themes. The additional observations from the interviews verified the relationship between SHRM, organizational learning, competitive strategy and organizational performance. Particularly, the result from case study interviews revealed SHRM and organizational learning as the core factors which improve organizational performance, guided by the requirements of the implemented competitive strategy. Furthermore, the current study identified new influencing factors, namely government salary scales, different procedures, different policies and regulations, financial economy, collaboration with associated companies and seasonal factors, impact the organizational performance indirectly through SHRM, organizational learning and competitive strategy. Drawing from these key findings and analysis, an extended conceptual framework was developed. This original extended conceptual framework not only made theoretical contributions to the body of knowledge in the field of strategic management under MSMEs context, but also offers useful implications and benefits for practitioners in similar MSMEs environment. Hence, this research study highlights the importance of maintaining favorable SHRM process and organizational learning environment for MSME owners/managers which is outlined by the appropriate competitive strategy.
Keywords: Strategic Human Resource Management, Organizational Learning, Competitive Strategy, Organizational Performance, Micro Small Medium Enterprises

Thesis (Degree)-Universiti Teknologi Brunei, 2021.

Includes bibliographical references page 295-329