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Management and Governance in Dutch SMEs

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  • Van Gils, Anita

Abstract

Small and medium-sized enterprises are important engines to stimulate the economic growth of a country. The survival of these firms is partly dependent on their human capital availability. Using strategic leadership theory, this paper examines the characteristics of the entrepreneur/manager, the top management team and the board of directors in Dutch SMEs. Empirical data identifies the entrepreneurs/managers as the most important decision makers. However, to support their decision-making process in the current competitive business environment, two thirds of the CEOs have created top management teams. CEOs and top management team executives combine their industry and functional knowledge to create the necessary firm know-how. Less than half of the firms have adopted a supervisory board. A reason for this could be the CEO's limited knowledge on the concept of governance. The paper concludes that entrepreneurs/managers of SMEs should be made aware of the strategic knowledge and networking advantages both top-management team and supervisory board members can offer.

Suggested Citation

  • Van Gils, Anita, 2005. "Management and Governance in Dutch SMEs," European Management Journal, Elsevier, vol. 23(5), pages 583-589, October.
    • Handle: RePEc:eee:eurman:v:23:y:2005:i:5:p:583-589
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    Citations

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    Cited by:

    1. Theresia Gunawan & Jojo Jacob & Geert Duysters, 2016. "Network ties and entrepreneurial orientation: Innovative performance of SMEs in a developing country," International Entrepreneurship and Management Journal, Springer, vol. 12(2), pages 575-599, June.
    2. Ana León-Gómez & José Manuel Santos-Jaén & Daniel Ruiz-Palomo & Mercedes Palacios-Manzano, 2022. "Disentangling the impact of ICT adoption on SMEs performance: the mediating roles of corporate social responsibility and innovation," Oeconomia Copernicana, Institute of Economic Research, vol. 13(3), pages 831-866, September.
    3. Shaker Zahra & Donald Neubaum & Lucia Naldi, 2007. "The Effects of Ownership and Governance on SMEs’ International Knowledge-based Resources," Small Business Economics, Springer, vol. 29(3), pages 309-327, October.
    4. Hezun Li & Siri Terjesen & Timurs Umans, 2020. "Corporate governance in entrepreneurial firms: a systematic review and research agenda," Small Business Economics, Springer, vol. 54(1), pages 43-74, January.
    5. Pal, Rudrajeet & Torstensson, Håkan & Mattila, Heikki, 2014. "Antecedents of organizational resilience in economic crises—an empirical study of Swedish textile and clothing SMEs," International Journal of Production Economics, Elsevier, vol. 147(PB), pages 410-428.
    6. Zona, Fabio, 2014. "Board leadership structure and diversity over CEO time in office: A test of the evolutionary perspective on Italian firms," European Management Journal, Elsevier, vol. 32(4), pages 672-681.
    7. García-Pérez-de-Lema, Domingo & Ruiz-Palomo, Daniel & Diéguez-Soto, Julio, 2021. "Analysing the roles of CEO's financial literacy and financial constraints on Spanish SMEs technological innovation," Technology in Society, Elsevier, vol. 64(C).
    8. Clemente-Almendros, Jose Antonio & Nicoara-Popescu, Dorina & Pastor-Sanz, Ivan, 2024. "Digital transformation in SMEs: Understanding its determinants and size heterogeneity," Technology in Society, Elsevier, vol. 77(C).
    9. Kooli, Chokri, 2019. "Governing and managing higher education institutions: The quality audit contributions," Evaluation and Program Planning, Elsevier, vol. 77(C).
    10. Orens, Raf & Reheul, Anne-Mie, 2011. "Do CEO Demographics Explain Cash Holdings in SMEs?," Working Papers 2011/35, Hogeschool-Universiteit Brussel, Faculteit Economie en Management.
    11. Cristobal Rodolfo Guerra-Tamez & María-Laura Franco-García, 2022. "Influence of Flow Experience, Perceived Value and CSR in Craft Beer Consumer Loyalty: A Comparison between Mexico and The Netherlands," Sustainability, MDPI, vol. 14(13), pages 1-22, July.
    12. Garcia-Perez-de-Lema, Domingo & Madrid-Guijarro, Antonia & Martin, Dominique Philippe, 2017. "Influence of university–firm governance on SMEs innovation and performance levels," Technological Forecasting and Social Change, Elsevier, vol. 123(C), pages 250-261.
    13. Daniel Ruiz-Palomo & Manuel à ngel Fernández-Gámez & Ana León-Gómez, 2022. "Analyzing the Effect of Financial Constraints on Technological and Management Innovation in SMEs: A Gender Perspective," SAGE Open, , vol. 12(1), pages 21582440221, March.
    14. Daniel Ruiz-Palomo & Julio Diéguez-Soto & Antonio Duréndez & José António C. Santos, 2019. "Family Management and Firm Performance in Family SMEs: The Mediating Roles of Management Control Systems and Technological Innovation," Sustainability, MDPI, vol. 11(14), pages 1-22, July.
    15. Khoa T. Tran & Phuong V. Nguyen & Linh M. Nguyen, 2018. "The Role of Financial Slack, Employee Creative Self-Efficacy and Learning Orientation in Innovation and Organizational Performance," Administrative Sciences, MDPI, vol. 8(4), pages 1-32, December.
    16. Orens, Raf & Reheul, Anne-Mie, 2013. "Do CEO demographics explain cash holdings in SMEs?," European Management Journal, Elsevier, vol. 31(6), pages 549-563.
    17. Duréndez, Antonio & Madrid-Guijarro, Antonia, 2018. "The impact of family influence on financial reporting quality in small and medium family firms," Journal of Family Business Strategy, Elsevier, vol. 9(3), pages 205-218.

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