Abstract:
Orientation: Regardless of the contribution done by small and medium-sized enterprises
(SMEs) in modern economies, and the critical role managerial interpersonal competencies play
in sustaining these enterprises, no known comparative study has been conducted in SMEs in
developing economies.
Research purpose: This study purposed to establish the impact of managerial interpersonal
competencies on SME performance as measured by innovation and return on investment
(ROI) in both family-owned SMEs (FOSMEs) and non-family-owned SMEs (NFOSMEs) in
Zimbabwe and South Africa.
Motivations for the study: Efforts at understanding managerial competencies and firm
performance among SMEs have taken a holistic approach, using all known managerial
competencies; yet, recently, there is acknowledgement that interpersonal competencies are
more effective in business sustainability than other competencies. With this observation, the
need to extent this finding in other contexts among FOSMEs and NFOSMEs in developing
countries becomes apparent.
Research approach/design and method: The study whose design was a descriptive
comparative case study adopted a quantitative approach.
Main findings: The study found a positive and significant relationship between managerial
interpersonal competencies and firm performance as measured by innovation and ROI in
FOSMEs in both countries.
Practical/managerial implications: NFOSMEs may need to focus their training on interpersonal
competencies for managers in order to be sustainable. For FOSMEs, continuous enhancement
of managerial interpersonal competencies is important as it promotes innovation and business
sustainability.
Contribution/value-add: The study helps fill the lacuna between research and practice with
respect to managerial interpersonal competencies in FOSMEs and NFOSMEs in the two
countries.
