Innovation management and refund performance among the Department of Science and Technology (DOST)-Assisted Enterprises: Implications to an enhancement program

Abstract

This study analyzed the relationship between innovation management and refund performance of the MSMEs assisted by DOST in Western Visayas. Also, it investigated whether significant differences would exist in the innovation management and refund performance of the firms when grouped according to the characteristics of the firm and the owner. The study used a survey-correlational design utilizing a self-administered questionnaire on innovation available in the public domain. The respondents are owners or key personnel selected through stratified simple random sampling from a population of 341 assisted firms. There were 92 MSMEs that participated in the study. The statistical tools used were frequency count and percentage, mean, and standard deviation for descriptive statistics and the Chi-square test for inferential statistics with a significance test set at .05. The results suggest that innovation management had no relationship with the refund performance of the MSMEs. Location, number of employees, and size affect firms’ active implementation of product innovations. Also, the number of employees and size influence their active execution of organizational innovations. The owner’s long business experience affects their high refund performance. A strategic location facilitates easy access to sources and suppliers of raw materials, transportation, labor, utilities, and customers, among others that fuel product innovations. The number of employees and size affect their capacity to implement product innovation since the creation of new products requires more than a few workers and investment from the company. The owners with long business experience are more committed to repaying their financial obligations because they want to maintain their good creditworthiness rating.