WASTE REDUCTION MODEL TOWARDS RESOURCES EFFICIENCY AFFECTING THE REORGANIZATION COSTS OF SMALL AND MEDIUM ENTERPRISES (SME)
Keywords:
model, waste, efficiency, resources, costs, entrepreneur, SMEs, reorganizationAbstract
This research aimed to study operation resources efficiency and operation wastes affecting the operation costs of SMEs. The research population was SMEs who registered in the Micro SME loan project of the Office of SME promotion for reorganization. The research used a questionnaire to collect data from 300 SMEs by purposive random sampling. Statistical analysis used descriptive statistical analysis and the structural equation modeling approach. The research results showed that three variables were operation resources efficiency - waste, and the operation cost had a high level of average values. The research model was consistent with the empirical data. The operation resources efficiency had a significant positive direct effect on the operation waste of SMEs. The operation resources efficiency had a significant positive indirect effect on the operation costs of SMEs bypassing the operation waste. This research suggests that SMEs who need the reorganization should focus and use their resources for the highest level of the efficiencies and reduce the production wastes, which are the crucial influences on the cost of reorganization.
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