Investigating the relationship between formality and business performance of UK SMEs | Middlesex University London
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Investigating the relationship between formality and business performance of UK SMEs

Event information

START DATE 16 December 2015
START TIME 04:00pm
LOCATION

C127, College Building, Middlesex University, The Burroughs, London NW4 4BT

END DATE 16 December 2015
END TIME 05:30pm

Dr Lakshmi Narasimhan Vedanthachari and Dr Rob Baldock present this CEEDR seminar

A theoretical debate exist between formality and informality in SMEs. Terziovski's (2009) research into formal and informal SME management practices concluded that formal structure and innovation strategy are the key drivers for innovation leading to high performance. This builds on previous work (Patel, 2005; Prakash and Gupta, 2008) arguing that formal structures add clarity to employees' roles, leading to greater employee commitment and overall organizational effectiveness. Others, such as Fiegenbaum and Karnani (1991), Appiah-Adu and Singh (1998), Narayanan (2001) and Qian and Li (2003) argue that SMEs are competitive because of flexible organisational structure and centralised decision making which supports informality.

Hence a theoretical tension exists between formality and informality in SMEs. Formality and Informality has been researched through a wide range of lenses. In the past, formality and Informality were explored by studying their planning processes, management styles, and employee management.

Please register for this event by contacting Pamela Macaulay.

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