The document discusses using a process approach to develop small and medium enterprises (SMEs) in Nigeria. It outlines the following process: 1) Analyzing relevant inputs like Nigeria's demography, innovation levels, economic problems, and global trends. 2) Defining actions like using process frameworks, business models, and tools to address problems and align with trends. 3) Anticipating outputs such as eliminating problems, designing a sustainable society based on SMEs, and adapting to world trends. The overall goal is to create a happy, stable society by encouraging citizens to start self-sustainable family SMEs and cooperatives to generate jobs and balanced economic development.

1. The proces approach
Small and Medium
Enterprises [SME]
development
J a r o s ł a w Kopera
M a ł g o r z a t a Major
B a r t o s z Młodkowski
P i o t r Senkus

2. Presentation Plan
1. Process approach
2. Input
3. Action
4. Output
5. Summary

3. Process approach
1. Process approach 2. 3. 4. 5.

4. Process Definition
The process can be understood as a set of related activities to achieve a
predetermined goal. This is done by converting the input in a pre-
defined or specified with customer value for him at the output
As processes are not bounded by any organizational structure their
application to many organizations, sectors even countries is possible .
[Senkus, 2013].
ActionInput Output
The process Cross-sector operation of processes
1. Process approach 2. 3. 4. 5.

5. The process approach in SME development - summary
ActionInput Output
Description of “as-is”
reality:
• Nigerian demography;
• Nigerian innovation;
• Nigerian “problems”
• World economy;
• Technological
revolution;
• Etc.
Action based on borrowed or
designed methodology:
• Process framework;
• Business models;
• Available tools;
• Etc.
• Elimination o the
Nigerian problems,
• Designing the
sustainable society
based on SME;
• Getting along with the
world trends;
• Etc.
1. Process approach 2. 3. 4. 5.

6. INPUT
ActionInput Output
2. Input 3. 4. 5.1.

7. Different situation
… requires different action !!!!
2. Input 3. 4. 5.1.
Challenge 1- Nigerian demography

8. Poland is among “higher middle” innovative county but Polish
people are working for the best innovative companies in the world.
2. Input 3. 4. 5.1.
Challenge 2 - Nigerian innovations
0,0 10,0 20,0 30,0 40,0 50,0 60,0 70,0
1 Switzerland
2 Sweden
3 United Kingdom
4 United States of America
5 Finland
6 Singapore
7 Ireland
8 Denmark
9 Netherlands
10 Germany
39 Poland
114 Nigeria
Global innovation index
https://www.globalinnovationindex.org/gii-2016-report

9. Holography by Mieczysław Wolfke
2. Input 3. 4. 5.1.
Challenge 2 - Nigerian innovations
Top Polish innovations

10. Oil Industry by Jan Józef Ignacy Łukasiewicz
2. Input 3. 4. 5.1.
Challenge 2 - Nigerian innovations
Top Polish innovations

11. Mine detector „Mark I” by Jan Józef Ignacy Łukasiewicz
2. Input 3. 4. 5.1.
Challenge 2 - Nigerian innovations
Top Polish innovations

12. "... The private sector and the public sector have to be conformed to
each other in a certain degree, if they not have to strangle each other.
Today, the private sector is rushing forward at a supersonic speed. The
public sector has not even started to load the luggage on the plane. "
Toffler A., The third wave, Bantam Book, William Morrow & Co., Inc., 1981
2. Input 3. 4. 5.1.
Challenge 2 - Nigerian innovations
Alvin Toffler
Innovations should go along with private and public sector

13. Challenge 3 - Nigerian Problems
1. National identity problem
2. Poverty
3. Corruption
4. Inequality
5. Terrorism
6. High level of child mortality
7. Unemployment
8. Poor education
9. Tribalism
10.Home violence
2. Input 3. 4. 5.1.

14. 2. Input 3. 4. 5.1.
Challenge 4 – World Economy
According to many scientists the economic growth
has almost reached it’s limit

15. 2. Input 3. 4. 5.1.
Challenge 4 – World Economy
The World is more and more often struggled
with financial cresses
Dow Jones industrial average index 1900-2010

16. 2. Input 3. 4. 5.1.
Challenge 4 – World Economy
The SME are the least resistant for crisis that is why they should
be supported with specific business knowledge

17. 2. Input 3. 4. 5.1.
Challenge 5 – Technological revolution
The Internet makes the economy faster than ever

18. 2. Input 3. 4. 5.1.
Challenge 6 – Future
Future is in general terms predictable the lesson for Nigeria is to
avoid bad practices and faults of more developed countries

19. ACTION
ActionInput Output
3. Action2. 4. 5.1.

20. 0
The success path of the organization
Identifythekey
goals
Designthe
meters
Determinethe
effectiveness
Initiatethe
improvement
Implementationandreview
Source: From Quality to Excellence, Department for Business, Innovation and Skills, London. 2010.
3. Action2. 4. 5.1.
Either on the national level with creating the support for SME or
creating SME or start-up the process approach would be
desirable

21. The Business Process Canvas
0
VALUE
PROPOSITIONS
CHANNELS
CUSTOMER
RELATIONSHIPS
CUSTOMER
SEGMENTS
REVENUE STREAMSCOST STRUCTURE
KEY
PARTNERS
KEY
RESOURCES
KEY
ACTIVITIES
<< insert your value
proposition here>>
<< Describe your cost structure here>>
<< list your partners
here>>
<< describe your revenue streams here>>
<< list the key resources
available to you here>>
<< describe your key
activities here>>
<describe how you plan to
establish and manage the
relationship between the
customer and your brand
here>>
<< describe 1) how you
plan to acquire customers,
2) how you plan to deliver
your value proposition to
them and 3) how you plan
to communicate with your
customers >>
<< describe your
target customer
segment here>>
3. Action2. 4. 5.1.
The Business models are very useful tools to create any project

22. 0
The Hierarchy of aims
Source: Senkus 2014
3. Action2. 4. 5.1.
Right hierarchy of aims should be issued.

23. 0
Source: Senkus 2014
• C01 Survival and development of the organization
• C02 Mutually beneficial relationships with decision
makers
• C03a Balanced market value
• C03b Balanced overall efficiency – for all of the
other operations that have a non-profit character,
• C05a Sustainable budget management,
• C04 Sustainable intangible assets,
• Sustainability goals: C6 High economic efficiency, C7
High social efficiency, C8 High environmental
efficiency),
• C9 High organizational effectiveness,
• C10 Mutually beneficial relationships with
beneficiaries/clients,
• C11 Mutually beneficial relationships with staff
(employees or officers),
• C12 mutually beneficial relationships with
management/leadership,
The Hierarchy of aims
3. Action2. 4. 5.1.

24. 0
Source: Senkus 2014
The Hierarchy of aims
3. Action2. 4. 5.1.
• C13 Mutually beneficial relationships with
suppliers,
• C14 Mutually beneficial relationships with
legislators,
• C15 Mutually beneficial relationships with the
public,
• C16 Minimize the impact on the environment,
• C17 Meeting standards and optional codes,
• C18 Mutually beneficial relationships with
other stakeholders

25. Nutrient metabolisms.
The basis for applying C2C principles & goals
&
The new “Cradle to Cradle” design paradigm
3. Action2. 4. 5.1.
The sustainable tools should be enabled.

26. Principles of the Cradle to Cradle® design paradigm
WASTE EQUALS FOOD
Nutrients become nutrients again
or
Everything is a resource for something else
USE CURRENT SOLAR INCOME
Renewable sources powered by sun
CELEBRATE DIVERSITY
Biodiversity
Cultural diversity
Conceptual diversity
3. Action2. 4. 5.1.
The sustainable tools should be enabled.

27. OUTPUT
ActionInput Output
4. Output2. 3. 5.1.

28. 4. Output2. 3. 5.1.
The goal is to create happy society through encouraging citizens to
open self-sustainable family SMEs to provide job for the people, co-
cooperatives to provide god quality and proper amount product for
the market.
Happy Society Without Problems

29. 4. Output2. 3. 5.1.
Growth National identity and changing Tribalism into competitive advantage through right
support for SME and encouraging them to set up cooperatives - everybody wants to be a
member of economically stable society
Happy Society Without Problems

30. 4. Output2. 3. 5.1.
Elimination of Poverty, Unemployment and Inequality – family based business model helps
to fight poverty and inequality because it encourages self-sufficiency, entrepreneurship
and innovation. That model also, unlike industrial model, helps to ensure more equal
income distribution in the society.
Happy Society Without Problems

31. 4. Output2. 3. 5.1.
Elimination of Corruption, Home violence, Terrorism and High level of child mortality – the
social pathologies often begins with poverty, unemployment and inequality, if one would
be able to fight above the rest would disappear automatically.
Happy Society Without Problems

32. 4. Output2. 3. 5.1.
One of the most important issues of building Nigerian welfare should be to develop
effective education also for SMEs that not always means to build special system but
sometimes, in the information era it means to give society the access to the knowledge
that is shared and created through Internet.
Happy Society Without Problems

33. Medium
enterprises
Small enterprises
Micro enterprises
Survivalist enterprises
• Less than 200 employees
• Turnover > R25m p.a.
• Developed technical & business skills
• Less than 50 employees
• Turnover < R25m p.a.
• Developed technical /limited business skills
• Less than 5 employees
• Turnover < R150k p.a.
• Some technical /limited business skills
• Individual self employment
• Turnover < R50k p.a.
• Limited technical and business skills
Opportunity driven/Entrepreneurial
Necessity-driven / Survival
Medium
enterprises
Small enterprises
Micro enterprises
Survivalist enterprises
Characteristics
4. Output2. 3. 5.1.
Characteristics of SME model

34. 4. Output2. 3. 5.1.
Small and medium enterprises (SMEs) could comprise from 90 to
over 99% of all registered business in the countries in the World and
employ 70 to 90% of the workforce.
Advantages of SME model

35. 4. Output2. 3. 5.1.
Flexibility - Small and midsize companies have the ability to react
quickly to changes in the marketplace. There is no hierarchy in place
that slows down the decision-making process.
Advantages of SME model

36. 4. Output2. 3. 5.1.
Team Spirit - A smaller company encourages team camaraderie. The
owner recognizes that every employee is critical to the success of
the business. Cross training naturally happens as one employee
covers for another during vacations, illnesses and family leave.
Advantages of SME model
http://yourbusiness.azcentral.com/advantages-smes-17194.html

37. 4. Output2. 3. 5.1.
Community Involvement - SMEs often become actively involved in
the community, because they view themselves as members of the
community and care about the people who live there.
Advantages of SME model
http://yourbusiness.azcentral.com/advantages-smes-17194.html

38. 4. Output2. 3. 5.1.
Customer Interaction - Every customer is important to an SME. Big companies don't have to rely on
repeat business from any individual customer and don't necessarily get to know their customers as
individuals. A competitive advantage for the SME is that customer interaction with the management
team takes place on a regular basis. The business owner knows what her customers specifically want
through their emails, phone calls, reaction to her company's blog and social media platforms. She then
has the opportunity to fill the customers' needs with additional products, a change in pricing or
enhancements in customer service.
Advantages of SME model
http://yourbusiness.azcentral.com/advantages-smes-17194.html

39. The program for developing Nigerian Agriculture should include
Developing the dominant SME model to provide jobs
for people
Developing the co-cooperative model for proper
quality and enable export opportunities
Building the broadband Internet infrastructure to
spread specific knowledge
4. Output2. 3. 5.1.

40. The success of Nigeria and its Economy depends on:
on:
Developing the dominant SME model to provide jobs
for people
Developing the co-cooperative model for proper
quality and enable export opportunities
Building the broadband Internet infrastructure to
spread specific knowledge
4. Summary2. 3. 5.1.
Keeping small taxes under simple rules