Organizational Behavior on Sustainability and Operational Efficiency of MSME in Cabanatuan City: Basis for Strategic Plan


Authors : Noel B. Agustin; Pablito V. Dizon, Jr.; Mitz Anne A. Galapon; Lone Marjan DJ. Garcia

Volume/Issue : Volume 9 - 2024, Issue 12 - December

Google Scholar : https://tinyurl.com/5f42jft2

Scribd : https://tinyurl.com/mrywewpf

DOI : https://doi.org/10.5281/zenodo.14613827

Abstract : This study aimed to examine the impact of organizational behavior on sustainability and operational efficiency among Micro, Small, and Medium Enterprises (MSMEs) in Cabanatuan City. How MSMEs can balance sustainability practices with operational efficiency, addressing the challenges they face in an evolving business landscape. The quantitative research design, using survey questionnaires distributed to 203 MSME owners and employees in Cabanatuan City. Revealed in this study that the MSME sector in Cabanatuan City is dominated by service industries, with a majority being small enterprises. The workforce is young and well-educated, with a strong focus on training and development. Sustainability practices are widely supported, with employee awareness programs and energy conservation being the most implemented. The study also identifies challenges in balancing sustainability with operational efficiency, including limited resources, increased costs, and lack of expertise. Findings further showed that while MSMEs in Cabanatuan City show strong potential for growth and a commitment to sustainability, they face significant challenges in resource management and knowledge gaps. Recommendations include enhancing decision-making processes, leadership development, improving communication systems, and prioritizing knowledge management to strengthen organizational behavior and integrate sustainability into operations. This study recommends several strategies to improve organizational behavior, sustainability, and operational efficiency among MSMEs in Cabanatuan City. First, businesses should enhance decision-making processes by adopting a hybrid model that balances centralized and collaborative approaches. Clear frameworks incorporating sustainability and efficiency metrics should guide decisions, supported by feedback mechanisms to evaluate outcomes. Leadership development is also crucial, with formal training programs focusing on sustainable practices, mentorship opportunities, and competency frameworks that emphasize both operational efficiency and sustainability.

References :

  1. Asenahabi, B. M. (2019b). Basics of Research Design: A guide to selecting appropriate research design. Retrieved from https://www.researchgate.net/publication/342354309_Basics_of_Research_Design_A_Guide_to_selecting_appropriate_research_design Bass, B. M., & Riggio, R. E. (2006). Transformational Leadership. Psychology Press.
  2. Bhandari, P. (2023, June 22). What is quantitative research?: Definition, uses & methods. Scribbr. Retrieved from https://www.scribbr.com/methodology/quantitative-research/
  3. Bhat, A. (2023, November 27). Questionnaires: Definition, Advantages & Examples. QuestionPro. Retrieved from https://www.questionpro.com/blog/what-is-a-questionnaire/
  4. Cruz, A. (2021). Sustainability in MSMEs: Challenges and Opportunities in the Philippine Context. Journal of Business Research, 15(2), 45–57.
  5. Cruz, L. J. (2021). Sustainability practices in MSMEs in the Philippines: Challenges and opportunities. Journal of Small Business Development, 15(3), 45-60.
  6. Cruz, J. (2021). Challenges of MSMEs in regional cities: A Philippine perspective. Journal of Small Business Development, 12(3), 45-62.
  7. Davis, M. (2020). Challenges in collecting self-reported business data: A review of methodological considerations. Journal of Business Research, 45(3), 56-68.
  8. Department of Trade and Industry. (2023). MSME Development Plan 2023-2028. Retrieved from https://www.dti.gov.ph/archives/news-archives/dti-presents-2023-2028-msme-development-plan-blueprint-driving-economic-growth-advancing-local-msmes/
  9. Department of Trade and Industry. (2022). MSME Digital Transformation Programs. DTI Annual Report.
  10. Eccles, R. G., Ioannou, I., & Serafeim, G. (2014). The Impact of Corporate Sustainability on Organizational Processes and Performance. Management Science, 60(11), 2835–2857.
  11. Elkington, J. (1994). Towards the sustainable corporation: Win-win-win business strategies for sustainable development. California Management Review, 36(2), 90-100.
  12. Fu, F. Q., & Elliott, M. T. (2013). Consumer Brand Awareness and Purchase Intentions: The Role of Knowledge. Marketing Management Journal, 23(2), 45–58.
  13. Hassan, M. (2024, November 12). Probability sampling - methods, types and examples. Research Method. Retrieved from https://researchmethod.net/probability-sampling/
  14. International Trade Centre. (2021). MSME competitiveness: Achieving global impact. Geneva: ITC.
  15. Kast, F. E., & Rosenzweig, J. E. (1972). General systems theory: Applications for organization and management. Academy of Management Journal, 15(4), 447–465.
  16. Khanday, S. A. (2023). THE RESEARCH DESIGN. Retrieved from https://www.researchgate.net/publication/368257495_THE_RESEARCH_DESIGN
  17. Lopez, M., & Garcia, P. (2020). The impact of external factors on MSMEs: A case study on the Philippines. Journal of Economic Development, 18(4), 74-86.
  18. McCombes, S. (2023, June 22). Sampling methods: Types, techniques & examples. Scribbr. Retrieved from https://www.scribbr.com/methodology/sampling-methods/
  19. McLeod, S. (2023, December 13). What is a questionnaire and how is it used in research?. Simply Psychology. Retrieved from https://www.simplypsychology.org/questionnaires.html
  20. Mintzberg, H. (2020). Strategy Safari: A guided tour through the wilds of strategic management. Financial Times Prentice Hall.
  21. Nguyen, K. (2021). External factors affecting MSME performance in Southeast Asia. Asian Business Review, 22(2), 45-58.
  22. OECD. (2022). Sustainable business practices: MSME perspectives. Paris: OECD Publishing.
  23. PhilAtlas. (n.d.). Cabanatuan, province of Nueva Ecija. Retrieved from https://www.philatlas.com/luzon/r03/nueva-ecija/cabanatuan.html
  24. Philippine Statistics Authority (2022). List of Establishments. Retrieved from https://dtiwebfiles.s3.ap-southeast-1.amazonaws.com/MSME+Resources/2022+Philippine+MSME+Statistics+in+Brief.pdf
  25. Robbins, S. P., & Judge, T. A. (2019). Organizational Behavior (18th ed.). Pearson.
  26. Santos, A. R. (2020). Organizational behavior and MSME sustainability in the Philippines: A case study. Philippine Journal of Business and Economics, 8(2), 23-37.
  27. Santos, J. (2020). Organizational Dynamics in Philippine MSMEs: A Regional Perspective. Philippine Business Review, 10(3), 78–95.
  28. Santos, L. (2020). The role of sustainability in MSME development in the Philippines. Journal of Business Research, 35(4), 200-215.
  29. Santos, P. M. (2020). Exploring organizational behavior and sustainability in MSMEs: A case study in the Philippines. International Journal of Business Studies, 12(4), 67–81.
  30. Smith, E., & Wesson, R. (2020). Organizational behavior and sustainability in small businesses. International Journal of Sustainability and Business, 26(2), 33-45.
  31. Taylor, J. (2021). Operational Efficiency and Competitive Advantage in Small Businesses. Small Business Economics, 56(4), 1125–1140.
  32. Thomas, L. (2023, December 18). Simple random sampling: Definition, steps & examples. Scribbr. Retrieved from https://www.scribbr.com/methodology/simple-random-sampling/
  33. UN SDG Report. (2022). Sustainable Development Goals 2022: Progress report. New York: United Nations.
  34. United Nations. (2022). The Sustainable Development Goals Report. Retrieved from https://unstats.un.org/sdgs
  35. United Nations Global Compact. (2020). Achieving the SDGs: The Role of MSMEs. UNGC Annual Report.

This study aimed to examine the impact of organizational behavior on sustainability and operational efficiency among Micro, Small, and Medium Enterprises (MSMEs) in Cabanatuan City. How MSMEs can balance sustainability practices with operational efficiency, addressing the challenges they face in an evolving business landscape. The quantitative research design, using survey questionnaires distributed to 203 MSME owners and employees in Cabanatuan City. Revealed in this study that the MSME sector in Cabanatuan City is dominated by service industries, with a majority being small enterprises. The workforce is young and well-educated, with a strong focus on training and development. Sustainability practices are widely supported, with employee awareness programs and energy conservation being the most implemented. The study also identifies challenges in balancing sustainability with operational efficiency, including limited resources, increased costs, and lack of expertise. Findings further showed that while MSMEs in Cabanatuan City show strong potential for growth and a commitment to sustainability, they face significant challenges in resource management and knowledge gaps. Recommendations include enhancing decision-making processes, leadership development, improving communication systems, and prioritizing knowledge management to strengthen organizational behavior and integrate sustainability into operations. This study recommends several strategies to improve organizational behavior, sustainability, and operational efficiency among MSMEs in Cabanatuan City. First, businesses should enhance decision-making processes by adopting a hybrid model that balances centralized and collaborative approaches. Clear frameworks incorporating sustainability and efficiency metrics should guide decisions, supported by feedback mechanisms to evaluate outcomes. Leadership development is also crucial, with formal training programs focusing on sustainable practices, mentorship opportunities, and competency frameworks that emphasize both operational efficiency and sustainability.

Never miss an update from Papermashup

Get notified about the latest tutorials and downloads.

Subscribe by Email

Get alerts directly into your inbox after each post and stay updated.
Subscribe
OR

Subscribe by RSS

Add our RSS to your feedreader to get regular updates from us.
Subscribe