This study was conducted to examine the role of the Business Advisory Centre in Micro and small enterprises' development in South Tongu District, Ghana. It further aimed at identifying the achievements of the BAC as well as the challenges the BAC is confronted with. The research design employed in this research work was the case study approach. It made use of both quantitative and qualitative data. Purposive sampling was employed in selecting the BAC whilst the random sampling technique was used to select 92 MSEs.
The survey revealed that the BAC in South Tongu District delivers all its expected roles required of them by the NBSSI. However, the BAC is only capacitated to conduct 12 training sessions out of the 27 which is expected of them by the NBSSI. The center has had a significant contribution to the development of the MSE sector. Amongst the key contribution made to the MSEs include improvement in technical abilities; good business management training management and practices; good knowledge on working environment (competitors and suppliers); improvement in income as a result of good business management training; easy dissemination of information due to availability of local business associations; and access to credits.
The BAC in South Tongu has been in operation for five years and has trained a total of 435 persons through Management Development Services (MDS), Community Based Training (CBT), Business Counseling and Strengthening of Associations.
The study revealed the impeding factors affecting the smooth and efficient operations of the BAC in the South Tongu District. They include inadequate logistics; over-reliance on central government funds; mobility (Accessibility); inability to help people start up businesses after training; untimely release of funds; and inadequate human resources.
The study suggests some recommendations to enhance the role of BAC to help develop the MSE sector. Amongst them are the provision of adequate human resources for the BAC, timely delivery of funds, demand-driven service provision, intensify guidance and assistance of MSEs to access loans, ensuring equitable distribution of services, and frequent visitations to MSEs.
The Government through the NBSSI is therefore urged to adopt the above-proposed strategies to enhance the service delivery of the BAC.
Table of Contents
1. General Introduction
1.1 Introduction
1.2 Background of the Study
1.3 Problem Statement
1.4 Research Objectives
1.5 Research Questions
1.6 Scope of the Study
1.7 Significance of the Study
1.8 Organization of Report
2. Business Advisory Centre and MSE Development
2.1 Introduction
2.2 The Human Capital Theory
2.3 Business Development
2.3.1 Business Development Services
2.4 MSE Development Agencies in Ghana
2.4.1 NBSSI
2.4.2 Business Advisory Centres (BAC)
2.5 The Concept of Entrepreneurship
2.6 Evolution and Concept of Entrepreneur
2.6.1 Entrepreneur as risk bearer
2.6.2 Entrepreneur as an organizer
2.6.3 Entrepreneur as an innovator
2.7 Definitions and Classifications of MSEs
2.7.1 Definition of MSE in Ghanaian Context
2.8 Direct Government Interventions on MSE Development
2.8.1 Microfinance and Small Loans Centre (MASLOC)
2.9 Challenges facing BAC in Ghana
2.10 Conceptual Framework
3. Profile of Study Area and Methodology
3.1 Introduction
3.2 Profile of Study Area
3.2.1 Location and Size
3.2.2 Climate
3.2.3 Vegetation
3.2.4 Population
3.2.5 Occupation Status
3.2.6 Employment Status
3.3 Methodology
3.3.1 Research Design
3.3.2 Research Style
3.4 Research Population
3.4.1 Sampling Method
3.4.2 Sampling Size
3.5 Sources and Methods of Data Collection
3.6 Data Collection Instruments
3.6.1 Questionnaire
3.6.2 Interview
3.7 Data Analysis
4. Data Analysis on BAC Roles to MSE Development in South Tongu District
4.1 Introduction
4.2 Profile of MSE Entrepreneurs
4.2.1 Kind/Nature of Enterprise
4.2.2 Sex of Owners of MSEs
4.2.3 Age distribution of MSEs Owners
4.2.4 Educational Level of Entrepreneurs
4.2.5 Marital Status of Entrepreneurs
4.3 Roles of Business Advisory Centre in the South Tongu District
4.3.1 Awareness of BAC by MSEs
4.3.2 BAC Training
4.3.3 Effects of BAC Roles on MSEs
4.3.4 Unaddressed Challenges of MSEs
4.3.5 Monitoring and Evaluation
4.4 Achievements of BAC
4.5 Human Resource Capacity of the BAC
4.6 Challenges of the BAC
5. Summary of Findings, Recommendation and Conclusion
5.1 Introduction
5.2 Key Findings
5.2.1 Profile of MSEs
5.2.2 Objective One (To assess Business Advisory Centre roles on MSEs in South Tongu district)
5.2.3 Objective Two (To identify the achievements of the Business Advisory Centre in South Tongu district)
5.2.4 Objective Three (To identify the challenges facing the Business Advisory Centre in South Tongu)
5.3 Recommendation
5.3.1 Provision of Adequate Human Resource for the BAC
5.3.2 Timely Delivery of funds
5.3.3 Provision of Adequate Logistics
5.3.4 Frequent Visitations to MSEs
5.3.5 Demand-Driven Service Provision
5.3.6 Intensive Vocational Training
5.3.7 Intensify Guidance and Assistance of MSEs to Access Loans
5.3.8 Ensuring Equitable Distribution of Services
5.4 Conclusion
Objectives and Core Themes
This study aims to examine the role of the Business Advisory Centre (BAC) in the development of micro and small enterprises in the South Tongu District, while identifying the centre's achievements and the challenges it faces.
- Assessment of the impact of BAC services on local micro and small enterprises.
- Evaluation of the BAC's operational capacity and service delivery efficiency.
- Identification of structural and financial challenges hindering the centre's effectiveness.
- Analysis of the relationship between entrepreneurial support and local economic development.
Excerpt from the Book
1.1 Introduction
The Business Advisory Centre (BAC) is an agency established under the National Board for Small Scale Industries (NBSSI) at the various Metropolitan Municipal District Assemblies (MMDAs) in Ghana. Presently, there are about 170 BACs instituted at MMDAs. The BAC is legally mandated to perform some roles towards the development of MSEs at the local level. South Tongu being one of the 216 MMDAs in Ghana was blessed with BAC in the year 2012. The entrepreneurs more particularly micro and small have received business advisory services from the BAC for almost six years now. However, as Jarmin (2009) asserts, assessment studies in most high income countries have validated that enterprise support programmes can significantly improve firm performance as compared to control group, there is a need to assess the impacts of the roles of the BAC in the District on business development.
This study however makes concerted efforts to assess the roles of Business Advisory Centre (BAC) to the development of Micro and Small Enterprises (MSEs) in the South Tongu District after five years of establishment. This assessment would be done based on two major criteria. The first being the number of roles and how they deliver their services to the entrepreneurs and the second, impacts of their roles on the development of businesses in the district. With the first criterion, how they deliver their business advisory services would be compared with the standards according to NBSSI. Amongst the indicators used for the assessing the second criterion are cash flow management of entrepreneurs, ability to secure loans, record keeping skills, and increment of business size.
Summary of Chapters
1. General Introduction: Provides an overview of the BAC's mandate in the South Tongu district, outlines the research objectives, and justifies the need for evaluating its impact on micro and small enterprise development.
2. Business Advisory Centre and MSE Development: Reviews literature on human capital theory and entrepreneurship, while defining the operational scope and role of Business Development Services (BDS) provided by government agencies like the NBSSI.
3. Profile of Study Area and Methodology: Details the geographical and socioeconomic characteristics of the South Tongu District and explains the case study research design, including sampling methods and data collection tools used.
4. Data Analysis on BAC Roles to MSE Development in South Tongu District: Analyzes field data regarding the profile of entrepreneurs, the effectiveness of BAC services, and the specific operational challenges faced by the centre.
5. Summary of Findings, Recommendation and Conclusion: Synthesizes the key research findings and offers strategic recommendations to policy makers for enhancing the capacity and service delivery of the BAC.
Keywords
Business Advisory Centre, Micro and Small Enterprises, Entrepreneurship, South Tongu District, Business Development Services, Human Capital Theory, Economic Development, NBSSI, Capacity Building, Training, Microfinance, MASLOC, Enterprise Development, Small Scale Business, Impact Assessment.
Frequently Asked Questions
What is the core focus of this research?
The study focuses on evaluating the effectiveness and impact of the Business Advisory Centre (BAC) in the South Tongu District regarding the development of micro and small enterprises.
What are the primary themes discussed in the work?
The research covers human capital development, the role of business advisory services, entrepreneurship concepts, and the specific institutional challenges faced by development agencies in Ghana.
What is the main objective of the study?
The primary goal is to assess the roles played by the BAC, identify its achievements over five years, and uncover the inhibiting factors that impede its efficient operation.
Which research methodology was utilized?
The study employed a case study approach, utilizing both quantitative and qualitative data gathered through questionnaires and interviews.
What topics does the main body explore?
The main body examines the profile of local entrepreneurs, assesses the delivery of business services, evaluates training performance, and identifies logistical and financial bottlenecks.
Which keywords best characterize this publication?
Key terms include Micro and Small Enterprises (MSEs), Business Advisory Centre (BAC), human capital, entrepreneurship, and rural economic development.
How is the BAC currently performing in the South Tongu District?
While the BAC delivers its intended roles, it faces significant capacity constraints, including a 40% staff backlog and a lack of vehicles, preventing it from meeting all annual training targets.
What specific challenges do the local entrepreneurs face?
Entrepreneurs reported major hurdles such as difficulty in securing loans, lack of proper equipment, high input prices, and an inability to adopt new technologies effectively.
What recommendations does the author provide to the government?
The author recommends the immediate recruitment of additional staff, timely release of funds, provision of adequate logistics, and a shift toward demand-driven service provision.
- Citar trabajo
- Richard Mensah (Autor), Bridget Amedzo (Autor), 2018, The Role of Business Advisory Council in Promoting Small and Medium Scale Enterprise, Múnich, GRIN Verlag, https://www.grin.com/document/1027118
