*Percentages show repondenses indication "needed" or "very needed"
Note: More than 50% of survey respondents indicated that their
firms generate sales of less than $2 million and threee-quarters
of the respondents employ fewer than fifty persons.
Source Management Training Needs Survey Report, Impression
2000
Even when the Australian Small Business Management Competency
Standard is re-organized by these competency blocks most of
the skills required for this standard can be found under the
competencies for the Tourism Small Business Operator. However,
there are several skill sets that do not appear - in the area
of technology - the functioning and operation of computers
for information access, and external communication and related
operational software.
In Table 5 almost all the certification and accreditation
programs of the Business Development Bank of Canada were reviewed.
All the management skills that were contained in these programs
were entered according to competency block. Again, with the
exception of computer skills and understanding the business
cycle most of the skills sets are captured by the Tourism
Small Business Operator Standard. One competency block that
is not part of the Tourism Standard is Entrepreneur Skills,
although there are many references to these skills in the
area of professionalism.
Within the Tourism industry there are several other standards
for owner operators. Comparing these to the Tourism Small
Business Operator, it is not surprising that they have strong
similarities. Most important is that within the framework
of a more generic small business operator standard, there
is room for the development of more specific management skills
and standards for sub-industry groups. This suggests that
while generic competencies can be developed for a small business
owner/operator it does not exclude the flexibility of other
councils or sub-industry groups developing a specific standard
with the framework outlined in the more broadly based standard.
In fact, one can go only so far in developing generic standards.
The significant differences occur in the application of different
sub-tasks that need to be performed. Operating a golf course,
a software firm, an auto repair shop, a printing shop and
a greenhouse have similar management requirements but significantly
different sub-tasks in the way they are carried out. However,
most of the management skills and first order tasks outlined
in Appendix 1 are similar across sectors.
Success and Failure Factors
Another way of reinforcing the need to develop management
skills is to look at studies identifying reasons why small
firms succeed or fail. The two studies conducted by Ibrahim/(both
studies), Ellis(failure study) and Goodwin(success study)
and summarized in Table 4 provide evidence that management
skills are critical factors in both failure and success. Accounting,
cashflow, and marketing were critical needed management skills
and lack of them were the major causes of failure. Weaknesses
in these areas were found to impact on all other areas of
the business. These factors were reinforced during discussions
with the Bankers Institute, and the Business Development Bank
of Canada where one of the most popular management training
seminar is on simple accounting.
Successful businesses were identified as effectively managing
their cashflow, having a niche marketing strategy delegating
responsibility and having a simple organizational structure.
If many of the failure and success factors are skill sets
built into the competency blocks then the chances of success
should improve using these performance measures.
Table 4
Perceived Causes of Success and Failure in
Small Business*
