Modelling and Diagnosing the Viability of the System-in-Focus Assignment

Assignment Task 

Abstract 

The growth of economies through trade is determined by how well they integrate and support small and medium businesses that constitute the growth and development of Trade in African markets by GDP contribution and employ approximately 30% of the workforce according to various data sources.

The concern I seek to address through this study is how programmes created for Small and Medium businesses are viable for driving value for them. I will apply the Viable Systems model as the methodology to understand the structures of these businesses and the programs as an intervention to their growth, learning and development.

The application of the Viable Systems Model as an intervention tool to drive growth through learning and opportunities for SMBs on the program becomes a key enabler to their survival. In a Kenyan context, there are 7.4M small and medium business owners and this number is estimated to grow to 9.7M by the end of 2022. Despite the importance of small businesses in the local economies, owning a business is still not enough to escape poverty or run a business that can survive beyond five (5) years. The Kenya National Bureau of Statistics estimates that about 2.2 million SMBs die in the first five years and about 400,000 die annually.

The sustenance of these businesses through programs is crucial for their survival.

Research questions

This paper aims to adopt the SMB as a system and aims to understand how programs support them to grow and thrive while ensuring they meet their business objectives.

Based on this, the researcher has developed questions that will guide the study;

1. What factors influence the start, growth and development of SMBs in their first 5 years?

2.  What entrepreneurship competencies and management tools drive business growth or failure?

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