Implementation Barriers to Process Innovation among Malaysian Manufacturing SMEs: A Review

Abstract

Process innovation is widely recognised as a crucial driver of small and medium-sized enterprises (SMEs). The SMEs that could not rapidly evolve core business strategies may become uncompetitive owing to obsolete products and processes. Hence, SMEs should consider the potential benefits of refining current processes apart from focusing on existing product offerings. Fostering process innovation could significantly improve competitiveness, efficiency, and plant visibility. Nonetheless, most SMEs struggle to implement efficient and effective process innovations in existing production operations. The current study aims to review the barriers encountered by manufacturing SMEs to facilitate process innovation.