Unlocking SMEs' Resilience: New Model Enhances Business Survival Strategies
Organizational resilience in small and medium-sized businesses is tough due to their structure. This study used a system dynamics approach to model how SMEs can achieve stability. By analyzing social networks, creating a causal loop diagram, and running simulations, the researchers found that resilience in SMEs relies on feedforward, buffering, and feedback controls. These factors require continuous coordination between core operations and management. The study suggests restructuring relationships within SMEs to enhance autonomy, improve strategic planning, and strengthen feedback mechanisms. The findings can help managers and academics enhance organizational resilience in SMEs.