Organizational management practices among micro enterprises in Perak

Abstract

Micro-enterprises play a vital role in promoting economic growth, employment creation, and business sustainability. However, despite their significant contribution to the economy, many micro-enterprises continue to face managerial challenges that affect their long-term competitiveness and survival. This study aims to investigate the organizational management practices adopted by micro-entrepreneurs in Perak, Malaysia. Specifically, it examines the extent to which micro-entrepreneurs implement organizational management practices related to strategic planning, goal setting, performance monitoring, decision-making, resource management, and problem-solving. A quantitative research approach employing a survey design was adopted. Data were collected from 102 micro-entrepreneurs operating in the districts of Muallim, Perak Tengah, and Kinta using a structured questionnaire comprising eight adapted measurement items. The data were analysed using descriptive statistics, including mean and standard deviation. The findings revealed that the respondents demonstrated a high level of organizational management practices (M = 3.86, SD = 0.80). Among the dimensions examined, taking immediate corrective action when business problems arise recorded the highest mean score (M = 4.12), indicating strong organizational agility and proactive decision-making. Conversely, setting clear short-term business goals recorded the lowest mean score (M = 3.54), suggesting inconsistencies in formal planning practices among micro-enterprises. Overall, the findings indicate that while Malaysian micro-entrepreneurs exhibit strong operational management capabilities, greater emphasis should be placed on strengthening systematic goal setting and strategic planning to improve business performance and sustainability. This study contributes to the entrepreneurship literature by providing empirical evidence on organizational management practices within the micro-enterprise context and offers practical implications for policymakers and entrepreneurship development agencies in designing targeted managerial development programmes to enhance the resilience, competitiveness, and long-term sustainability of micro-enterprises.