IJERD – International Journal of Environmental and Rural Development (2017) 8-2

Research article
erdCompetency Level Development in Business Operations ofYoung Smart A-SMEs
PONSARAN SARANROM*
School of Agriculture and Cooperatives, Sukhothai Thammathirat Open University,
Nonthaburi 11120, Thailand
Email: ponsaran.sar@stou.ac.th

BUMPEN KEOWAN
School of Agriculture and Cooperatives, Sukhothai Thammathirat Open University,
Nonthaburi 11120, Thailand

BENCHAMAS YOOPRASERT
School of Agriculture and Cooperatives, Sukhothai Thammathirat Open University,
Nonthaburi 11120, Thailand

SINEENUCH KHRUTMUANG SANSERM
School of Agriculture and Cooperatives, Sukhothai Thammathirat Open University,Nonthaburi 11120, Thailand
Received 25 December 2016

Accepted 18 October 2017(*Corresponding Author)

Abstract There were a large number of young generation farmers in Thailand who were an
agricultural entrepreneur, and needed to develop their competency level in business operation.
The aims of this research were 1) to determine the competency of Young Smart A-SMEs, 2)
to make plans for developing their competency level in business operations, 3) to reinforce anddevelop their competency level in business operations, and 4) to study their opinions on thereinforcement and development of their competency level in business operations. This
investigation was conducted as a research and development study. The sample population was
215 Young Smart A-SMEs. The data were collected by group discussions, training course
procedures and a questionnaire survey. Quantitative data were analyzed using descriptive
statistics and qualitative data were analyzed through content analysis. The findings were as
follows: 1) Most of the Young Smart A-SMEs had bachelor degrees, IT skills and were unitedas 10 groups. 2) Two training course curriculums at national level were required; a curriculumon the development of packaging and label designing, and a curriculum on media technology
for online marketing. Also, 38 curriculums were necessary at provincial level covering eight
issues: (i) self-learning development, (ii) production resource management, (iii) productionmanagement, (iv) product value-added management, (v) product standard management, (vi)marketing and product distribution management, (vii) network group management, and (viii)
coordination and communication management. 3) The training courses achieved the needs ofmembers and adhered to the planned itineraries. 4) Young Smart A-SMEs were, on average,
high satisfied of benefit (Mean = 4.16), with the training courses. Their knowledge before
training was low level (Mean =2.52) but improved to highest level (Mean =4.49) on averageafter training.
Keywords competency level development, business operation, young smart A-SMEs

INTRODUCTION
Thai farmers tended to decrease in numbers and most of them were elderly. However, many of theyoung generation educated at bachelor degree level switched their careers from office jobs to be an
agricultural entrepreneur. They were known as “Young Smart A-SMEs” (Young Smart Agricultural
Small and Medium Enterprises). These people mostly had high competency in creativity,Ⓒ ISERD

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communication technology and social networking, so they could be easily developed to be a farmers’leader who played a great role in pushing agricultural SMEs in the future. Furthermore, most had
experienced in business operations and understood the aspects of production, marketing, andfarmer’s uniting. They mostly had new ideas in production and marketing which differed from theoutdated methods of elderly farmers. Importantly, they were motivated to succeed in business toincrease production through marketing plans and to unite as one network. However, to develop theircompetency levels in business operations and network linking procedures, their competency should
be reinforced to compete in the production management and product/packaging development.
Therefore, this research on “Competency Level Development in Business Operations of Young
Smart A-SMEs” was conducted to develop competency in production procedures, value added toagricultural products, marketing development, and finally, to develop network management skills.
OBJECTIVES
The purposes of this research were as follows: 1) to determine personal state of Young Smart ASMEs, 2) to make plans to develop the competency level in the business operations, 3) to reinforce
and develop the competency level in business operations, and 4) to study the opinions on thereinforcement and development of their competency level in business operations.
METHODOLOGY
Research design: This investigation was conducted as a research and development study.
Population/sample: The sample population was young generation farmers aged under 45 yearsaround Thailand. The sample size was specified and 215 samples were selected by using purposive
sampling methodology by an application form. The qualification prerequisites were as follows: 1)
being an agricultural SME entrepreneur and a registered community enterprise member, and 2)
having the intention to develop their enterprise systematically and become a professional
entrepreneur in the future.
Research instruments: The research instruments were selected to achieve the objectives as follows:- Studying the personal state of Young Smart A-SMEs through group discussions- Formulating plans to develop competency levels in business operations through group discussions- Reinforcing and developing competency levels in business operations though several method basedon plan setting- Studying opinions on the reinforcement through a questionnaire survey
Data analysis: Content analysis followed objectives 1-3. Descriptive statistics were used inobjectives 4 to analyze mean, percentage, maximum value, minimum value, and standard deviation
data.
RESULTS AND DISCUSSION
1. Personal State of Young Smart A-SMEs
The personal competency of Young Smart A-SMEs was identified for three issues as follows:
1.1 Fundamental Personal Competency of Young Smart A-SMEs
1) Most of the entrepreneurs had bachelor degrees to master degree level. 2) They had a continuousand stable income. They mostly had their own asset such as land and agricultural equipment. They
also united to be 10 groups adhering to the region of their agricultural area. 3) They farmed several
agricultural products including organic rice, mushrooms, hydroponic/local vegetables, strawberries,fruits, bamboo, bananas, seedless grapes, melons, mulberries, limes, garlic, chilies, passion fruits,avocados, organic papayas, earthworms, fish, cattle, processed food (bananas/mushrooms), andbiological/organic fertilizer. 4) Farming was integrated/mixed/organic/safety adhering to SufficiencyⒸ ISERD

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Economy Philosophy, and 5) the quality/standard of their products was guaranteed by GAP Standard,and organic farming standards.
1.2 Entrepreneurial skills
Young Smart A-SMEs had entrepreneurial skills as follows: 1) IT usage, 2) understanding theprinciple and guidelines on self-development, 3) understanding group procedures and methods forimproving production, 4) knowledge of community enterprise operations and adherence to theCommunity Enterprise Reinforcement Act of 2005.
1.3 Management skills
Young Smart A-SMEs had management skills as follows: 1) uniting as 10 groups representing theregions of their area, 2) coordinating their network and alliances, 3) setting rotating meetings atregional level every two months, or setting meetings within their province/area, and 4) making plans
to learn and exchange knowledge and new ideas with each other regularly.
To make a discussion, Young Smart A-SMEs had their own assets such as land and agriculturalequipment, and united to be 10 groups adhering to the region of their agricultural area consistent with
Sawatdiphab Keeratiya (2011) who stated that 81.25% of young generation farmers had their own
occupied agricultural area, and 75.00% of them were a member of a farmer group. The findings ofthis research showed that the farmers would be more confident and feel secured if they had their own
land. Being a farmer group member made them develop their competency level to compete withothers, exchange their knowledge and new ideas, and properly practice based on the innovations.
2. Making Plans to Develop the Competency Level in the Business Operations ofYoung Smart A-SMEs
Young Smart A-SMEs made competency development plans for eight issues and curriculums todevelop their members. The curriculums were divided into national and provincial network levels
with the responsibility of academics/proficient persons in each subject. Several methods were usedfor knowledge transfer such as lectures and field studies.
2.1 The competency development included eight issues as follows: self-learning development,
production resource management, production management, product value-added management,
product standard management, marketing and product distribution management, network groupmanagement, and coordination and communication management.
2.2 Curriculums to develop the members were divided into two levels as follows:
2.2.1 Curriculums at national level: These covered the development of 1) packaging and label design,2) media technology for online marketing.
2.2.2 Curriculums at provincial level: Young Smart A-SMEs designed these “curriculums adheringto their members’ needs and set the training courses accordingly. The curriculums were correlatedwith the plans to develop the network of Young Smart A-SMEs in the eight issues mentioned
previously.”
To discuss, Young Smart A-SMEs designed the training course curriculums taken responsibility
by academics/proficient persons in each subject. They used several methods for transferring theknowledge such as lecturing and field studying consistent with Pongkarunyaphat Krtisada (2007)
who studied “Need for Farmer and Proper Syllabus Design for Future Farmer in Phrae Province” andfound that young generation farmers needed proficient academics in universities who had knowledge
and experience to lecture and gave them a chance to have field studies and real practice. Thesefindings could be discussed that effective strategy to transfer knowledge for Young Smart A-SMEs
should be conducted from proficient academics. Also, the method should be selected and based onYoung Smart A-SMEs decision which helped the training be more effective.
Young Smart A-SMEs needed to be trained on media making for communicating with
consumers and online marketing which were curriculums at national level. This finding could be
discussed that Young Smart A-SMEs needed to communicate their products directly to the consumers
using online media as marketing channels. Considering the findings of this study on general state ofYoung Smart A-SMEs, it was found that most of them had skillful use of IT consistent with Schroer(2016) who stated that Generation Y were the people who were born during 1977-1994 whileⒸ ISERD

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technology was progressing. It implied that Young Smart A-SMEs which were in Generation Y,tended to use IT to run their business operations. Furthermore, the researchers realized that online
marketing would be used in business operations successfully if Young Smart A-SMEs communicatedtheir marketing via IT to the young generation consumers consistent with Srisroi Mayvadee (2011)
who studied “The Effect of Online Advertising on the Perception of Marketing Information ofWorking People”, found that technology factor affected the perception of marketing information ofyoung generation people at 0.05 statistical significance.
3. Reinforcing and Developing the Competency Level in Business Operations
Young Smart A-SMEs set the training courses according to the designed curriculums as follows:
3.1 Curriculums at National Level
3.1.1 The Curriculum on the Development of Packaging and Label Designing
Young Smart A-SMEs produced practical packages, developing and designing 23 labels for 23
agricultural products to attract the attention of consumers. Some samples of the labels developed forthe agricultural products were shown in Table 1.
3.1.2 The Curriculum on Media Technology for Online Marketing
After development, the Young Smart A-SMEs accrued knowledge regarding communication withconsumers and online marketing. They could develop media technology for themselves andcommunicate directly with consumers through online channels. This greatly increased publicawareness of their products through advertising.
3.1.3 Curriculums at Provincial Network Level
Young Smart A-SMEs set schedules for the training courses adhering to the 38 curriculums at
provincial network level and operated their training courses as planned.
Table 1 Output of the Training Course on Packaging Development and Original Label
Designing for Agricultural Products
Products

Before development

After development

Development details

Three-flavor
dried tomato

Labels were developed to bewaterproof and attractive tocustomers with more
information regarding theproducts. Packages weretransparent, sealed for productvisibility and had longer life
which added value to theproducts. The packages werealso reusable to reduce waste.

Fresh Mangoes

The new packages were
designed with a handle to
make them portable andsuitable as a gift/souvenir.

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4. Studying the Opinions on the Reinforcement and Development of their Competency Level
in Business Operations
4.1 The Outcome of benefit level evaluation Young Smart A-SMEs evaluated each development
curriculum at provincial network level together with the benefit level in the eight aspects of selflearning development, production resource management, production management, product valueadded management, product standard management, marketing and product distribution management,
network group management, and coordination and communication management. Results showed thatthe average benefit level was high (Mean = 4.16). The highest benefit level was achieved in the four
aspects of production resource management, production management, product value-addedmanagement, and marketing and product distribution management.
4.2 The outcome of knowledge level evaluation Young Smart A-SMEs evaluated their knowledge
levels before and after development in eight aspects. Knowledge levels before development were ata low level (Mean = 2.52). After development, knowledge levels were highest in all aspects (Mean= 4.49), except for marketing and product distribution management.
These positive findings from the outcomes of benefit level and knowledge level evaluation
regarding the development of the competency of Young Smart A-SMEs in business operations could
be discussed that allowing members of Young Smart A-SMEs groups to design curriculums to trainthemselves was an effective strategy. This made them realize the benefit/advantages of the training
courses. The pattern of training courses also gave them the opportunity to discuss issues with eachother and exchange knowledge to increase their competency in business operations. These results
were consistent with Maiese Michelle (2005) who stated that discussing with each other would
reinforce the information and experience exchange, network uniting and able to enhance competency.
Furthermore, to develop competency level must be covered all aspects of competency; knowledge,
skills, and attribution (McClelland, D.C.,1973). This pattern of training courses could claim thatcompetency level were developed at all aspects of competency. The aspect of knowledge weredeveloped by curriculums at national level, and provincial network level. The aspect of skills werevisibly noticed by packaging, labeling and IT media made. Lastly, the aspect of attribution could beseen from their evaluating the benefit and knowledge.
CONCLUSION
The competency level development in business operations for Young Smart A-SMEs allowed themto design the curriculums they needed for training. These were divided into national and provincial
network levels. There were two curriculums at national level on the development of packaging andlabel designing, and the curriculum on media technology for online marketing, and 38 curriculums
at provincial network level. The evaluation of benefit/advantage was generally at a high level. The
evaluation of knowledge level before development was low; however, after development this was at
the highest level.
ACKNOWLEDGMENTS
The researchers are extremely grateful to the Capacity Building and Study Center for Community
Based Resources Management (CRC), Sukhothai Thammathirat Open University (STOU), theDepartment of Agricultural Extension, the Ministry of Agriculture and Cooperatives, and the Officeof Small and Medium Enterprise Promotion their assistance.
REFERENCES
McClelland, D.C. 1973. Testing for competence rather than intelligence. American Psychologist, USA.
Michelle, M. 2005. Networking. The beyond intractability project, The conflict information consortium, Universityof Colorado. http://www.beyondintractability.org/essay/networking (retrieved in June).

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Pongkarunyaphat Krtisada. 2007. Need for farmer and proper syllabus design for future farmer in Phrae Province,Maejo University, Thailand.
Sawatdiphap Keeratiya. 2011. Factors influencing the expectation in self-reliant agricultural development of the newgeneration farmer. Thesis, Social Development, Kasetsart University, Thailand
Schroer, W.J. 2016. Generations x, y and z and the others. WJ Schroer Company. http://socialmarketing.org/
archives/generations-xy-z-and-the-others/ (retrieved in November).
Srisroi Mayvadee. 2011. The effect of online advertising on the perception of marketing information of workingpeople. Thesis, Faculty of Business Administration Graduate School, Rangsit University, Thailand.

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