The influence of learning organization towards the performance: A study on small and medium enterprise (SME) of manufacturing firms in Johor Bahru, Johor

The purpose of this study is to investigate the influence of learning organization towards the performance of small medium-sized enterprises (SME). The study focuses on manufacturing firms in Johor Bahru, Johor. Specifically, this study is to examine the link between the dimensions occur in Systematic Learning Organization Model (SLOM) namely dynamic learning, organizational transformation,
empowering people, knowledge management and technology application with the performance of SMEs manufacturing firms. The performance of SMEs firms includes overall performance of SMEs manufacturing firms and performance of
SMEs firm relative to their major competitor. 102 respondents were involved in this study. The data was analyzed using ‘Statistical Package for Social Science’ SPSS
version 19. Collectively, the result shows that the learning organization is able to influence the performance of SMEs manufacturing firms in Johor Bahru. The Systematic Learning Organization Model (SLOM) is able to influence overall performance of SMEs manufacturing firms and performance of SMEs manufacturing firms relative to their major competitors. However, for individually, analysis using
multiple regression analysis indicates that only one of SLOM dimension; dynamic learning is able to influence overall performance of SMEs manufacturing firms in Johor Bahru. The dimension of dynamic learning and technology application of SLOM demonstrates the significance influent on performance of SMEs manufacturing firm relative to their major competitors. Therefore, the owner or manager of SMEs manufacturing firm in Johor Bahru should focus on the dynamic learning and technology application in order to enhance the performance of their firms.