Measuring the compliance of management system in manufacturing SMEs: an integrated model

Research on the efficiency and sustainability of production systems has drawn attention to the importance of monitoring the social and environmental impacts of production processes and management systems. In particular, integrated models and tools need to be developed to assess the application of sustainable operations –especially in those sectors characterized by a high presence of SMEs. This paper proposes an integrated assessment model – the Small and Medium Enterprise Compliance Assessment (SECA) – for SMEs involved in manufacturing and production. SECA provides an integrated tool to detect a firm’s compliance with mandatory requirements on environmental and social issues in accordance with relevant legislation applicable in the country. This assessment model employs a new Index of Small and Medium Enterprise Compliance to synthesize both the levels of compliance and the complementary risks to which the enterprise is exposed to, given the applicable legislative domains. To test the model, a pilot application was conducted based on the analysis of 99 Chinese-owned SMEs operating in the textile and fashion manufacturing district in Prato. These enterprises voluntarily underwent the assessment procedure to measure their compliance with mandatory processes and regulations. The results that emerge from this pilot application demonstrate the relevance and capacity of SECA to assess and understand the degree of SMEs’ compliance with relevant legislation on sustainability matters. The application also demonstrates the models’ potential to be adapted to other local contexts and SMEs as required.