Skip to main content

ORIGINAL RESEARCH article

Front. Sustain.
Sec. Sustainable Organizations
Volume 6 - 2025 | doi: 10.3389/frsus.2025.1503331

The Impact of Resource Management Practices on the Performance of Micro and Small Enterprises (MSEs) in Werabe Town, Ethiopia

Provisionally accepted
Matewos Kebede Refera Matewos Kebede Refera 1*Redela Seman Habib Redela Seman Habib 2Habtamu Regassa Lemma Habtamu Regassa Lemma 3Abdilkerim Asrar Seman Abdilkerim Asrar Seman 2Endalew Adamu Antonios Endalew Adamu Antonios 2
  • 1 Accounting and Finance, College of Business and Economics, Werabe University, Werabe, Ethiopia
  • 2 Management, College of Business and Economics, Werabe University, Werabe, Ethiopia
  • 3 College of Finance, Management and Developement, Ethiopian Civil Service University, Addis Ababa, Addis Ababa, Ethiopia

The final, formatted version of the article will be published soon.

    Effective resource management is crucial for optimizing organizational performance, yet its application in Micro and Small Enterprises (MSEs) has received limited academic attention. This study examines the impact of resource management practices on MSE performance in Werabe Town, Ethiopia. Using an explanatory research design, primary data were collected from 265 randomly selected small business operators and analysed with descriptive statistics, Pearson correlation, and multiple regression. The findings indicate low overall MSE performance, driven by inadequate financial, human resource, material, and information management practices. Regression analysis shows these four factors explain 64.3% of the variance in performance, with all variables exhibiting a statistically significant positive effect. The study recommends managerial and policy improvements, particularly in financial and human resource management, while also enhancing information management to support performance gains.

    Keywords: Financial Management, Human Resource Management, Information Management, Materials management, MSE's performance

    Received: 28 Sep 2024; Accepted: 27 Jan 2025.

    Copyright: © 2025 Refera, Habib, Lemma, Seman and Antonios. This is an open-access article distributed under the terms of the Creative Commons Attribution License (CC BY). The use, distribution or reproduction in other forums is permitted, provided the original author(s) or licensor are credited and that the original publication in this journal is cited, in accordance with accepted academic practice. No use, distribution or reproduction is permitted which does not comply with these terms.

    * Correspondence: Matewos Kebede Refera, Accounting and Finance, College of Business and Economics, Werabe University, Werabe, Ethiopia

    Disclaimer: All claims expressed in this article are solely those of the authors and do not necessarily represent those of their affiliated organizations, or those of the publisher, the editors and the reviewers. Any product that may be evaluated in this article or claim that may be made by its manufacturer is not guaranteed or endorsed by the publisher.