Scielo RSS <![CDATA[South African Journal of Economic and Management Sciences ]]> http://www.scielo.org.za/rss.php?pid=2222-343620220001&lang=en vol. 25 num. 1 lang. en <![CDATA[SciELO Logo]]> http://www.scielo.org.za/img/en/fbpelogp.gif http://www.scielo.org.za <![CDATA[<b>The impact of Kaizen: Assessing the intensive Kaizen training of auto-parts suppliers in South Africa</b>]]> http://www.scielo.org.za/scielo.php?script=sci_arttext&pid=S2222-34362022000100001&lng=en&nrm=iso&tlng=en BACKGROUND: There has been a growing recognition that the most critical missing factor impeding the growth and productivity of manufacturing enterprises in developing countries is entrepreneurs with strong managerial abilities. As Kaizen requires strong communication and cooperation between managers and shop-floor workers, social cohesion between them seems to be a prerequisite for its successful implementation.. AIM: The question arises whether Kaizen can improve efficiency in management in a place like South Africa, a country marked by serious ethnic divisions. Therefore, the aim in this study is to assess the impact of an intensive Kaizen training programme in South Africa SETTING: So an intensive Kaizen training programme was implemented at eight randomly selected automotive parts-suppliers in the three key automotive regions in South Africa from 2016 to 2019. METHOD: A combination of a standard survey questionnaire and informal interviews was used to collect the production and management data. Given our relatively small sample size, the analysis is descriptive in nature. RESULTS: Evidence shows that Kaizen, a Japanese management system, is indeed effective in improving the performance of enterprises in developing countries. CONCLUSION: The Kaizen method proves to be so successful in improving efficiency in South Africa that it justifies scaling up such a training programme in the future. <![CDATA[<b>A proposed leadership skills development model for African FMCG business-networks: Super-Cube</b>]]> http://www.scielo.org.za/scielo.php?script=sci_arttext&pid=S2222-34362022000100002&lng=en&nrm=iso&tlng=en BACKGROUND: Predictions suggest Africa's combined Gross Domestic Product (GDP) will be amongst the fastest growing on earth in the next two decades. An expectation is that the majority of African homes will enter the consumer class, and educational performance will improve significantly within the next two decades. Nonetheless, organisations competing in Africa face numerous challenges. These include its size and complexity, transformational population growth, an abundance of talent but a lack of skills, a scarcity of large companies, the relatively small size of big companies, a poorly understood business environment, conflict, poverty and corruption. To successfully address these challenges, entrepreneurial energy and a strategy to develop leadership skills at scale is required. AIM: The purpose of this study was to develop and assess whether a leadership skills development model which integrates six conceptual constructs is valid as a model for developing leadership skills in African fast-moving consumer goods (FMCG) business-networks METHOD: The study took a pragmatic approach and followed an explanatory sequential design typology. An initial quantitative stage was conducted. Using inductive thematic interpretation methodology, the qualitative results helped explain the initial quantitative results. Applying confirmatory factor analysis, three data-model fit tests gave empirical evidence that the leadership skills development model was a good model fit. FINDINGS: The outcomes and practical value of this study included a theoretically relevant, empirically validated leadership skills development model, Super-CubeĀ® for African FMCG (Fast Moving Consumer Goods) business-networks, as well as a range of recommendations on how to develop leadership skills throughout Africa. CONCLUSION: Leadership skills development is complex, especially in a rapidly changing environment. This study is the first that proposes a leadership skills development model for African FMCG business-networks that directly contributes to the discipline of leadership and leadership development. <![CDATA[<b>The significance of an employee value proposition in the retention of teachers at selected South African private schools</b>]]> http://www.scielo.org.za/scielo.php?script=sci_arttext&pid=S2222-34362022000100003&lng=en&nrm=iso&tlng=en BACKGROUND: Private schools in South Africa are currently faced with the challenge of retaining a talented pool of teachers. An employee value proposition (EVP) could assist private schools in reducing teaching staff turnover. AIM: The aim of this study was to investigate the significance of an EVP in the retention of teachers at three selected South African private schools. The study thus sought to answer the following question: What is the significance of an EVP in the retention of teachers at three selected South African private schools? SETTING: Time and money are spent on the recruitment and development of teachers. High turnover of teachers reduces all staff recruitment and staff development efforts to useless financial expenses. METHODS: A qualitative research approach was followed. Semi-structured interviews were used to gather data from teachers at three different private schools in Johannesburg. RESULTS: The findings showed that most private schools lack a clear and differentiated EVP. Despite their importance, EVPs were often not clearly communicated to staff members and the value of EVPs in the retention of teachers was mostly underestimated. CONCLUSION: The research highlighted the deficiencies in the EVPs of most schools. It also emphasised the backlog in the retention of teachers caused by a lack of a proper EVP. <![CDATA[<b>A proposed risk framework as a tool for sustainability for the South African wine industry</b>]]> http://www.scielo.org.za/scielo.php?script=sci_arttext&pid=S2222-34362022000100004&lng=en&nrm=iso&tlng=en AIM: There is an existing gap in the literature that addresses the importance of risk management as a tool for sustainability in the winemaker's activities and operations. The purpose of this article is to propose a risk management framework for the South African wine industry that can be used as a tool for sustainability. SETTING: The study comprised 10 participants at five wine-producing estates located in the five different wine-growing areas within the Stellenbosch region. METHOD: The study is exploratory in nature, adopting a case study approach. Interviews with wine producers in the Stellenbosch region of the Western Cape province of South Africa were conducted in order to identify the various risks they face. RESULT: A thematic analysis was used to analyse the data. The four steps of risk management were used as a reference point and to underpin the proposed risk management framework. The study was done using the Supply Chain Operations Reference model, which is divided into six process categories, namely plan, source, make, deliver, return and enable. CONCLUSION: The article makes a twofold contribution. Firstly, wine producers might use the proposed framework to identify and mitigate their risks and thus as a tool for sustainability. Secondly, the proposed framework is expected to contribute to the existing body of knowledge on risk management and sustainability. <![CDATA[<b>Goals and benefits of digital transformation projects: Insights into project selection criteria</b>]]> http://www.scielo.org.za/scielo.php?script=sci_arttext&pid=S2222-34362022000100005&lng=en&nrm=iso&tlng=en BACKGROUND: Digital transformation (DT) is an increasingly relevant concept for businesses to remain competitive. As DT projects are disruptive to an organisation and are significantly different from traditional information technology projects, it is important to understand the value that specific DT projects will bring to an organisation before they are implemented, so that DT project portfolios can be optimally managed. AIM: This study aims to determine the key goals and benefits of DT projects, as well as the selection criteria for DT projects in South African businesses. The study also explores the most influential technologies for driving the implementation of DT projects. SETTING: South Africa is an emerging economy. The study was performed in the initial phases of nationwide lockdown owing to COVID-19. METHODS: Semi-structured interviews were conducted with 11 leaders from South African businesses of varying sizes, but all in significant local markets. Content analysis using CAQDAS was used to analyse the primary data, using both inductive and deductive coding methods RESULTS: South African businesses use a combination of financial and non-financial project selection criteria across four main goals and benefit categories: customer experience, operational efficiency, business culture, and traditional project evaluation. The fifth proposed goal (new business models) was not used to evaluate DT projects. The most influential technologies that drive the selection of DT projects were data-related, such as data storage, data processing, machine learning, and data-driven decision-making. CONCLUSION: Companies in South Africa can use traditional project evaluation criteria together with several new criteria to determine the value of DT projects more holistically. This study also suggests several key practical takeaways for businesses that are aspiring to implement their own DT projects. <![CDATA[<b>Fiscal multipliers in South Africa after the global financial crisis</b>]]> http://www.scielo.org.za/scielo.php?script=sci_arttext&pid=S2222-34362022000100006&lng=en&nrm=iso&tlng=en BACKGROUND: South Africa's fiscal position has deteriorated considerably over the last 10 years, with debt levels reaching historical highs in the post-apartheid period. National Treasury's intentions for fiscal consolidation have again drawn attention to the fiscal multiplier literature AIM: The aim in the study is to calculate the size of fiscal expenditure multipliers over the period 2009 to 2019, taking into account the specific economic conditions and the funding choices of government SETTING: In the study fiscal policy is considered at a time when the debt to gross domestic product (GDP) ratio was rising rapidly METHODS: We use an econometric model to calculate the fiscal multipliers over the past decade. Our estimates take account of the specific fiscal conditions for each year, in particular the changing relationship between debt and the sovereign risk premia as well as the impact of tax increases RESULTS: The model suggests that the fiscal multiplier declined from 1.5 in 2010 to around zero in 2019 as the debt levels became progressively more unsustainable and large tax increases muted the aggregate demand effects from higher government expenditure CONCLUSION: The low fiscal multipliers suggest that fiscal consolidation will be less costly in terms of growth forgone than generally perceived JEL CLASSIFICATION: C50, E62, H62, H63 <![CDATA[<b>The entrepreneurial intention-action gap and contextual factors: Towards a conceptual model</b>]]> http://www.scielo.org.za/scielo.php?script=sci_arttext&pid=S2222-34362022000100007&lng=en&nrm=iso&tlng=en BACKGROUND: Previous work on entrepreneurial intention suggests that intention does not necessarily lead to entrepreneurial action; this is referred to in the literature as the entrepreneurial intention-action gap. Current entrepreneurship literature has focused on this gap and how it occurs, but limited work focuses on the contextual factors, such as self-identity, family, and formal institutions, and their influence on the entrepreneurial intention-action gap. AIM: To determine the influence contextual factors may have on an entrepreneur's ability to overcome the entrepreneurial intention-action gap; therefore, an inductive conceptual model is developed that encompasses these influences. SETTING: This qualitative study was conducted with ten agri-entrepreneurs from different agricultural organisations in South Africa. METHODS: Semi-structured interviews, with a reverse-flow approach, were conducted telephonically with participants. The study employed a generic qualitative research design and Atlas.ti was used to conduct thematic analysis to identify and analyse patterns (themes) that emerged from interviews with respondents. RESULTS: The study inductively develops a conceptual model that could be empirically tested in future research to determine whether this model can be used to bridge the entrepreneurial intention-action gap. This model may be applicable not only to the agriculture sector but also to other industries. CONCLUSION: New knowledge regarding self-identity factors emerged from the findings. The article also supports existing literature by suggesting that family members have an influence on an individual's success in becoming an entrepreneur. Finally, the unique dynamics of formal institutions in South Africa are presented and a contribution is made by shedding light on how entrepreneurs and formal institutions should collaborate to bridge the entrepreneurial intention-action gap