Standardization Efforts in Small Businesses: The Pre Saga of Standardization of Services in Malaysian SMEs

Standardization Efforts in Small Businesses: The Pre Saga of Standardization of Services in Malaysian SMEs

Ying Yan Tan
DOI: 10.4018/IJSSMET.2021090104
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Abstract

Services are products or ways businesses differentiate from others to attract customers. Characteristics of service, which include intangibility, perishability, and dependence on individuals who perform the services, make it valuable asset and competitive advantage to firm when well-managed. It is crucial for quality services to be preserved through standardization though there are different individuals who bring customers through service experiences. Service standardization involves consistency in work processes, attitudes, and ability to create similar experiences to customers who patronage the firm. The author believes that standardization of manpower quality is a way to service standardization. Standardization efforts can be found in many flexible practices in small enterprises, which are thought to be peculiar ways small firms survive competition. The conceptual paper covered questions from the author about service standardization, which will lead to future studies to go behind the scene of service standardization efforts in SMEs and their impacts on Malaysian small firms.
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Introduction

The concept of standardization was introduced by Qing Shi Huang, Chinese emperor, to standardize Chinese words system and other measurement system (P. Wang, 2011). Standards are important in standards practitioners in economic aspects (Blind, Jungmittag, & Mangelsdorf, 2011; Crowley et al., 2018; Weissinger, 2014) technical aspects (Blind, Petersen, & Riillo, 2017; Tassey, 2017; Wears, 2015), and policy making (Antikainen, Mickwitz, & Seppaelae, 2013; Schoenefeld & Jordan, 2017); Wiegmann et.al., 2017). In recent years, studies were conducted on standardizations in services (Reichwald, Möslein, Huff, Kölling, & Neyer, 2009; Wakke, Blind, & Ramel, 2016; Zoo, de Vries, & Lee, 2017), marketing(Mudie & Pirrie, 2012; Rao, 2011; Rust & Huang, 2014), Information Technology (Hanseth, Bygstad, Ellingsen, Johannessen, & Larsen, 2012; Ortiz Jr, 2011; Rotsos et al., 2017), hospitality (Lu & Kandampully, 2016; Sandoff, 2005), manufacturing (Koelling, Neyer, & Moeslein, 2010), knowledge intensive based services (Bettiol, Di Maria, & Grandinetti, 2012) and more on basic sciences procedures and processes. The roles of standards have become so important that standards push forward technological and societal changes in large scale (Wiegmann, 2019; Wiegmann, de Vries, & Blind, 2017) as it is thought that multiple solutions to a problem can result inefficiency and ineffectiveness (Featherston, Ho, Brévignon-Dodin, & O'Sullivan, 2016; Geels, 2004). Standardization works well in situation where all actors involved required a generalized solution which coordinate all parties of different backgrounds to work towards producing a satisfactory outcome for all (Farrell & Saloner, 1988; Farrell & Simcoe, 2012; Wiegmann et al., 2017). Despite studies showed positive outcome in engaging standardization (Wakke et al., 2016), getting all parties involved to reach consensus at new technical elements at work and act accordingly requires non-technical part (Featherston et al., 2016; Geels, 2004; Ho & O'Sullivan, 2017; Kenney & Zysman, 2016; Porter & Heppelmann, 2014; S. K. Schmidt, Werle, Susanne, Bijker, & Pinch, 1998).

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