Attachable IoT-Based Digital Twin Framework Specialized for SME Production Lines

PurposeProduct advantage is consistently identified as the most important product characteristic in explaining the adoption and success of a new product. In small- and medium-size enterprises (SMEs), in particular, improving new product performance is critical in supporting SME survival and growth. Given that SMEs are a vital component of most economies improving their ability to effectively launch new products is an essential activity for sustainability. However, although literature illustrates that developing products with high levels of product advantage and new product development is advantageous, few studies have explored product advantage activities in SMEs and consequently research on product advantage is over-reliant on large firm studies. Given the specific resource constraints which challenge SME new product development (i.e. financial, expertise, access to networks etc.) context-specific research is critical. The purpose of this paper is to address these gaps in literature by exploring the product advantage activities in four manufacturing SMEs actively engaged in product development.Design/methodology/approachThe research question centres on exploring the antecedents of product advantage in SMEs (market uncertainties, competitive intensity, resource uncertainties and technological uncertainties) in the context of multi-dimensional perspective of product advantage (consisting of product innovativeness, product superiority and product meaningfulness). A qualitative interpretivist approach was used to explore the research question exploring the antecedents to, and nature of, product advantage in SMEs. Case studies were used to inductively and holistically view SMEs in their entirety, this approach facilitated in-depth understanding of the reality of the SME and allowed for the interpretation of the SMEs owner/managers perspectives on product advantage.FindingsThe empirical findings suggest that the most significant antecedent of product advantage in the case SMEs was competitive intensity followed by technology uncertainty and resource uncertainty and then market uncertainty. Product advantage was found to be strongly based on product meaningfulness with elements of product innovativeness and product superiority also defining their perspective of product advantage.Research limitations/implicationsThere are several implications for SME owner/managers arising from this study. In the context of these findings, SMEs need to carefully consider three issues in supporting their new product development: first, their dependence on letting existing customers drives their new product development; second, owner/manager perceptions of product advantage are focused on delivering guaranteed sales, this focus nurtures incremental continuous product development rather than radical discontinuous innovation. While this strategy is low risk and supports SME sustainability, it could lead to less ambitious innovation strategies and slower growth for SMEs; third, antecedents of product advantage such as competitive intensity, technology uncertainty and resource uncertainty and market uncertainty need to carefully managed.Originality/valueThis study illustrates the complex nature of the antecedents and nature of product advantage in SMEs. The study provides insight into the product advantage characteristics that SMEs consider important in the development of new products. Different elements of each of the three product advantage constructs (product meaningfulness, product superiority and customer meaningfulness) are considered important under different conditions. Throughout this analysis, market needs and wants, technology, competitors and resources emerged as the defining conditions upon which product advantage decisions are based. More specifically knowledge regarding the market, technology, competition and the availability of resources dictated the type and levels of advantages that were presented in new products.

PurposeThis paper aims to reveal how larger enterprises and small and medium-sized enterprises (SMEs) can enable innovation collaboration for enhanced competitiveness of the offshore wind energy sector.Design/methodology/approachThe research is based on a longitudinal qualitative study starting in 2011 with a project-based network learning course with 15 SME wind farm suppliers and follow-up interviews with 10 SMEs and continued with interviews conducted with 20 individual enterprises within operation and maintenance conducted in 2014-2015.FindingsThe findings reveal challenges as well as opportunities for innovation collaboration between larger enterprises and SMEs to contribute to the innovation and competitiveness of the offshore wind farm sector. A glass ceiling is revealed for demand-driven positions if the SME does not possess rare and specific valuable knowledge. There are opportunities revealed in general for supplier-driven positions if SME suppliers can collaborate and develop interesting solutions for larger enterprises. If SMEs succeed in either of these aims, the SMEs have an opportunity to attain partner-driven collaboration. However, challenges are present according to the understanding of the different organisational approaches in SMEs and larger enterprises and in the different business approaches.Research limitations/implicationsThe research is limited to the offshore wind energy sector. Further research is needed for verification of the findings in other energy sectors.Originality/valueA fourfold contribution is made to enhance the understanding of innovation collaboration and to enable competitiveness for the offshore wind energy sector. SMEs, larger enterprises, academic researchers and policy bodies are provided with a model for action within the four positions for innovation collaboration.

Aim: The majority of machine learning (ML) models in healthcare are built on retrospective data, much of which is collected without explicit patient consent for use in artificial intelligence (AI) and ML applications. The primary aim of this study was to evaluate whether clinicians and scientific researchers themselves consent to provide their own data for the training of ML models. Materials and Methods: This survey was conducted through an anonymous online survey, utilizing platforms such as Telegram, LinkedIn, and Viber. The target audience comprised specific international groups, primarily Russian, German, and English-speaking, of clinicians and scientific researchers. These participants ranged in their levels of expertise and experience, from beginners to veterans. The survey centered on a singular, pivotal question: “Do You Consent to the Use of Your Biological and Private Data for Training Machine Learning and AI Models?” Respondents had the option to choose from three responses: “Yes” and “No”. Results: The survey was conducted in January 2024. A total of 119 unique and verified individuals participated in the survey. The results revealed that only 50% of respondents (63 persons) expressed consent to provide their own data for the training of ML and AI models. Conclusion: In the development of ML and AI models, particularly open-source ones, it is crucial to ascertain whether participants are willing to provide their private data. While ML algorithms can transform the nature of data, it is important to remember that the primary owner of this data is the individual. Our findings show that in 50% of the cases, even participants from scientific research and clinical backgrounds – individuals typically accountable for ensuring data quality in AI and ML model development – do not consent to the use of their data in AI and ML settings. This highlights the need for more stringent consent processes and ethical considerations in the utilization of personal data in AI and ML research.

Resource support of innovative small and medium-sized enterprises for space industry development in Russia

This paper examines differences in outward foreign direct investment (FDI) activity between small and medium-size enterprises (SMEs) and large enterprises in five Central European economies (CEEs). The effects of firm size on motives, barriers, and the competitive advantages of outward investment are examined by surveying 180 firms. Employment effects are examined on a single country. The results indicate more similarities than differences in internationalization patterns and prove SMEs to be capable of internationalization strategies. Similar to large CEE firms, SMEs' investment abroad is mainly market seeking. Both groups of firms identified similar barriers, but SMEs face larger financial and capacity problems. Their larger counterparts enjoy superiority in marketing and production capabilities, but, on average, lack the agility needed for swift and efficient market entry. As SMEs frequently target specialized niches, their main competitive advantages are technological know-how, organizational flexibility, and closer relationships with their customers. Larger competitors, apart from technological know-how, rely on the benefits arising from scale economies and marketing. Home-country employment effects of SMEs are positive and larger than they are for large firms. Our empirical results show that differences found in theoretical propositions and previous empirical studies apply, to a large degree, to companies from CEEs, though the specific characteristics of both types of firms and the intensity of differences are not yet as pronounced as they are in other developed countries, which is to some extent a transition-specific phenomenon. The differences identified suggest adaptations in support policy programs for SME internationalization.

SME financing with a combination contract of investment and guarantee

The relevance of the topic is due to the pronounced weakness of the influence of small and medium-sized enterprises (SMEs) on the spatial development of the country. The purpose of the article is to advance in the systematization of the functions of SMEs in the spatial development of our country, to systematize the causes of weakness in the implementation of these functions. The most important of the reasons is due to the fact that the system of SME support created in Russia is inadequate to the needs of this sphere. This is confirmed by the fact that in a number of Russian regions, and in the country as a whole, since 2017, there has been a decrease in the number of people employed both in small (the main group of SME employment) and in medium-sized businesses. The decline is taking place against the background of a significant increase in financial volumes and an expansion of the organizational diversity of support for SMEs. The novelty of the article is the advancement in the systematization of assessments of the implementation of the potential functions of SMEs in the spatial development of Russia; assessment of the spatial dynamics of small and medium-sized businesses in recent years in terms of employment parameters from the point of view of the ability of SMEs to really influence the development of territories; assessment of the state and effectiveness of state support for SMEs at the federal and regional levels; analysis of the relationship between the real possibilities of SMEs and the structure of the Russian economy. As the reasons for the weak influence of SMEs on the development of regions, it was noted that large monopolistic enterprises do not need cooperation with SMEs. In the process of choosing measures and directions of support for SMEs, the position of officials-actors, often irrational, dominates. In the current Russian system of fiscal federalism, regional authorities have little interest in promoting the development of SMEs on their territory.

<p class="AbstractText">Micro, small and medium-sized enterprises (SMEs) are considered to be the engine of the European economy. In EU SMEs make up more than 99% of all companies and provide around 75 million jobs. They are a key source of job creation and stimulation of entrepreneurial spirit and innovation and are therefore essential for fostering competitiveness and maintaining employment in the EU. Yet SMEs often have problems in raising funds to finance fixed investments and inventory and working capital. SMEs mostly use internal sources while the most important external sources of SMEs are bank loans, which are not easily accessible. Hence, one of the priorities of the European Commission is stimulating SMEs through EU funds and programs in order to enable SMEs development and finally to contribute to economic growth. SMEs sector also dominates the economic structure of Croatian economy and they have similar financing problems. However, Croatia in period 2014 – 2020 have at disposal a total amount of 10.676 billion of euros from European structural and investment funds, of which 8.397 billion are aimed for cohesion policy objectives and 470 million euros are aimed for the development and competitiveness of SMEs. Besides, EU programs COSME and HORIZON 2020 are intended to provide direct support to SMEs and to create a favorable environment for their development. However, even though the number of successful project applications for small and medium-sized enterprises in the total share of Croatian project applications is relatively high, fund absorption has not reached satisfactory levels. Using the sample of Split-Dalmatia County’s SMEs, this study finds out reasons for low absorption capacity from SMEs point of view: SMEs are interested in funds from European Union, but are not sufficiently familiar with their availability i.e. funds at their disposal, especially programs COSME and HORIZON 2020; SMEs state that they know how to apply for EU funds but considered the procedure as complicated and demanding regarding documentation, and that the needed knowledge and know-how for proposal is beyond their scope; SMEs are not satisfied with the cooperation with state institutions, especially Ministry of Regional Development and EU funds and Croatian Chamber of Economy. We point out four main conclusions: (1) SMEs are not enough aware of EU financing possibilities; (2) additional promotion of EU programs directly to SMEs is required; (3) additional education of SMEs regarding project proposal and documentation is needed and (4) more proactive policy of state institutions and cooperation with local authorities is expected. Finally, greater awareness and professional help might be a key in strengthening the SMEs, whose entrepreneurial spirit and innovation process is a prerequisite for economic growth and development.</p>

The mass customization (MC) literature has, so far, primarily focused on how large enterprises (LEs) successfully can achieve mass customization, neglecting the small- and medium-sized enterprise (SME). Since SMEs constitute a major part of the global economy, this paper has the purpose to examine whether the MC literature’s propositions and best practices are directly transferable to SMEs. Based on data from a large international survey, the paper concludes that, from an environmental perspective, both LEs and SMEs could use MC to cope with fluctuations and attain a competitive edge. The results also indicate that LEs have implemented all but one of the studied MC-enabling practices to a much higher degree than SMEs. To become successful mass customizers, the average SME still has to improve substantially. More specifically, the results indicate that the average SME needs to (a) increase the degree of communication and collaboration with customers and suppliers; (b) integrate design and manufacturing organizationally and through manufacturing and design technology, tools, and techniques; (c) control and improve the quality and flexibility of its manufacturing processes, machinery, and equipment; and (d) create an organization supporting open communication, employee autonomy, and continuous improvement.

In a competitive market, large businesses & small and medium size enterprises (SMEs) compete with each other. Further, the regulatory requirements are often the same for SMEs and large enterprises. However, SMEs have usually fewer resources to develop strategic marketing management and business plan. These include market research (market segmentation, targeting, competitive environment, etc.) and tactical marketing (market positioning & strategy, marketing & selling model, etc.). The purpose of this paper is to study the main marketing management challenges of the SMEs operating in the Nordic region. Furthermore, the other objective is investigating the factors that may influence the SMEs' international competitiveness. To fulfil the objectives, we have developed a questionnaire; and, carried out a survey for a selected number of local SMEs. The questionnaires are aiming for evaluating the effectiveness of the local SMEs marketing strategies; and, consequently to help local SMEs in developing a smarter marketing management strategy.

With the improvement of the level of market economy and the improvement of the state's attention to small and medium-sized enterprises (SME), the number of small and medium-sized enterprises in China is gradually increasing, and the market competition is also becoming increasingly fierce. Under the background of big data, the competition faced by small and medium-sized enterprises is more severe. Strengthening the management of financial internal control can ensure that enterprises can successfully complete their development goals and improve their market competitiveness, so as to realize the healthy development of small and medium-sized enterprises. Combined with the significance of financial internal control of small and medium-sized enterprises under the background of big data, this paper emphatically analyzes the problems existing in financial internal control of small and medium-sized enterprises under the background of big data. According to the analysis results, this paper puts forward the strategies of financial internal control of small and medium-sized enterprises under the background of big data, for reference.

Purpose – The purpose of this paper is to discuss the value of scenario planning to small and medium size enterprises (SMEs), and further examine the challenges constraining the uptake of scenario planning by SMEs. Design/methodology/approach – A conceptual review of the literature on scenario planning in SMEs intended to unpack and capture the possible underlying reasons accounting for the limited uptake of scenario planning by managers/owners of SMEs has informed the formulation of this paper. Findings – The study uncovered that SMEs’ managerial mental models, SMEs’ managerial time orientation, severe resource constraints, and industry complexity are some of the salient factors inhibiting the use of scenario planning among managers/owners of SMEs. The author develops a framework of propositions that account for the complexity and challenges of scenario planning by SMEs for future empirical examination and validation. Originality/value – The conventional wisdom is that scenario planning is carried out by large and established firms, and that SMEs are unable to adopt and practice the technique. This paper uncovers that SME have substantial needs for scenario planning, but are only able to engage in simple foresight activities such as brainstorming, desk research, networking and expert interviews to monitor their external environment. They are unable to effectively use scenario planning in its purest form as in large firms. By bringing together the reasons accounting for the difficulty of SMEs to practice scenario planning in its purest form as large firms do, the study therefore extends the limited discourse on scenario planning among SMEs. Implications are discussed and areas for future empirical studies provided.

The article highlights current issues regarding the potential of small and medium-sized enterprises (SMEs), which is an important factor in the economic development of any country. The innovative potential of the enterprise is the ability of the organization to generate new ideas and implement them in its activities. This is a complex indicator that includes various aspects that affect a company's ability to be innovative. The study provides key aspects that determine the innovative potential of SMEs, namely: economic growth - SMEs contribute to the creation of new jobs and ensure the flexibility of the economy, as they quickly respond to market changes; innovation – small and medium-sized enterprises are often the source of new ideas and technologies, as they have lower bureaucratic barriers and more flexible structures; competition - SMEs contribute to increasing the level of competition in the market, which stimulates large companies to increase efficiency and improve the quality of products and services; social aspect – small and medium-sized enterprises are often the basis for the development of local communities, providing jobs and supporting the local economy; globalization – SMEs can successfully enter international markets, contributing to the country's export potential. Key challenges for SMEs include access to finance, regulatory barriers, shortages of skilled workers and the need to adapt to technological change. Support from the state, business incubators and other organizations can significantly improve the conditions for the development of small and medium-sized enterprises. An up-to-date analysis of small and medium-sized enterprises was carried out and the corresponding steps for creating an effective innovation potential of small and medium-sized enterprises were provided. The key elements of innovation potential are presented, namely: resource base, organizational structure and culture, research and development (R&D), information support, patent and licensing activities, innovation marketing, innovation management. Innovative potential is a key factor for ensuring long-term competitiveness and success of the enterprise on the market. It allows the company not only to respond to changes in the external environment, but also to actively form new market opportunities.

Small and medium enterprises (SMEs) face major challenges when implementing Digital Twin (DT) technology due to high infrastructure costs and complex integration requirements. While the development of comprehensive DT models remains an expensive, resource-intensive activity, most issues often lie in the complex integration processes required to connect existing manufacturing systems with simulation environments. This paper presents a novel low-cost data architecture for integrating data from enterprise manufacturing systems (such as MES and WMS) into external simulation-as-a-service platforms, facilitating DT integration while cutting the related costs. The proposed methodology addresses the challenge of connecting different IT systems with simulation services through a data-driven integration approach. Rather than relying on expensive enterprise integration architectures, the solution leverages a simplified framework focusing on intelligent data transformation with minimal pressure on existing infrastructure. The integration strategy centers on comprehensive data modeling that standardizes how products, resources, and materials information are represented across heterogeneous systems for DT consumption, particularly addressing the complexities of make-to-order environments where product-centric information requires flexible approaches. The work has been validated through the implementation in a medium-sized manufacturing company, and it demonstrated simplicity and cost-effectiveness compared to traditional integration approaches. The data architecture successfully transformed production plans, workforce allocation data, and warehouse materials records from native formats into standardized simulation-ready models. By isolating and addressing the integration complexity while utilizing existing simulation-as-a-service providers for the computationally intensive modeling aspects, the proposed methodology significantly reduces the overall burden of DT implementation for SME, supporting the adoption of this technology through a cost-effective integration strategy.

Research in the 1970s demonstrated the dominant role which large enterprises and multinational conglomerates played in the economies of industrialised countries. This form of economy was characterised by the Fordian organisation of work, polarisation of employment, the emergence of a two-fold market and the spatial division of labour distinguishing central from peripheral regions (Aydalot, 1976; Massey and Meegan, 1979). Since the end of the 1970s, social scientists have begun to emphasise rather different processes: the large increase in the number of small firms has been stressed, along with their apparent independence from large enterprises and their considerable contribution to employment. This was assumed to be linked to the development of services (the majority of which are provided by small and medium-sized enterprises), but these trends are just as apparent in manufacturing. The importance of SMEs (small and medium-sized enterprises) at different stages of technological innovation (especially newly emerging SMEs) has become apparent (Castells, 1984; Saxenian, 1985).