The new approaches to the performance analysis of SMEs (in the Czech Republic)

This paper discusses the conclusions of some research projects undertaken at the University of Economics in Prague, aimed at the measurement of performance of SME. The aim of the initial project was to test some recommended methods and models and its practicality for SME. For this purpose, a small sample of just two companies was chosen. It has revealed that even companies certified according to ISO EN have the weakest point in marketing expertise and strategy creation. The next stage started with the formulation of a new hypothesis. Which factors should be included in the evaluation of the future successfulness of a firm? How to define the development potential? To answer these questions, a much larger sample has been analyzed. Fifty companies were analyzed according to six components-strategy and planning, marketing, production processes and technology, quality and environment, logistics and human resource management. Several statistical methods were used to analyze the interdependencies between the main group factors and the six remaining determinants. The conclusions of the self assessment approach were used by placing the companies into four groups A, B, AB, and C, which express the development potential. In the third stage the same questionnaire was used to examine 95 SMEs (heterogeneous group). The conclusions have proven that more than 50% of companies do not have any mission and corresponding strategy. More than 30% do not perform marketing activities and do not practice CRM. Almost 50% of the sample companies' produce using licenses or by copying products. Only 50% of companies make use of their own R&D for the product innovations. Just 28% underwent certification processes, 70% do not create integrated supply chains and logistic and almost 50% of companies do not have their MIS integrated. Motivational systems are not innovatively created.