Development of Logistics and Supply Chain System for Small and Medium Enterprise (SME) in Surin Province

Abstract

The aims of this research were: 1) to study the management condition of small and medium enterprise (SME) in Surin; 2) to analyze the logistics and the supply chain system; and 3) to study guideline for development of the logistics and the supply chain system. This research was the quantitative and qualitative. There were 13 participants for depth interviews with community leaders, local philosophers, and silk weaving group member of Ban Tha Sawang, Mueang District, Surin Province. Further, the questionnaires distribution for 375 samples who are community enterprise/network of silk business in Surin province used cluster random sampling collection. The study found that: the silk weaving group of Ban Tha Sawang was many decades’ inheritance by passing from generation to generation. Currently, silk products development is modern and popular in the market. Therefore, it is able to generate income for the community. However, the maximize production efficiency of SME need in terms development of the logistics and supply chain systems. Moreover, the analysis of the logistics and supply chain systems of SME in Surin province including the planning, the raw materials procurement , the production, and the delivery was at a high level ( = 3.95). Furthermore, the logistics and supply chain system development were as follows: firstly, the planning should be a valid trade registration for systematic development. In addition, at least 2 networks need to be created. Secondly, the raw materials procurement need to create a raw material network, produce the raw materials itself, and establishment should near the source of raw materials. Thirdly, the production should increase the production staffs’ ability and a training regularly. Fourthly, the delivery should have a contract for delivering in every time. Further, the organization's self-pick-up service will help build trust and cut risk as well as allowing customers to pick up products in person will also help to cut transportation and service costs. Moreover, the delivery of products through the Thailand Post that is a stable and helps to cut transportation and service costs, too.