The Moderation Effect of Ownership on the Relationship between Business Process Reengineering (BPR) and Organisational Performance of Small and Medium Enterprises (SMEs)

Joan Aturinda, Siraje Kaaya & Moses Agaba
Kabale University, Uganda
Email: joanaturinda@gmail.com/ skaaya@kab.ac.ug/ magaba@kab.ac.ug

Abstract: The study examines the role of ownership in moderating the relationship between business process reengineering and organisational performance of SMEs. Although business process reengineering has been cited as a critical driver of organisational performance, empirical evidence on how ownership influences its effect remains under researched especially in developing countries. The study adopted a mixed methods approach where data was collected from 364 SMEs operating in Mbarara city and Bushenyi district focusing on manufacturing, agro-processing, financial services, hotel and accommodation and general trade sectors. Qualitative data was obtained from 12 respondents. Quantitative data was analysed using SPSS version 26 where hierarchical regression and moderation analysis was done. Qualitative insights were obtained through thematic analysis. The findings indicated that ownership does not moderate the relationship between business process reengineering and organisational performance, indicating that the type of ownership does not affect the strength of the relationship of BPR and organisational performance. The study contributes to the existing literature by extending the RBV to the SME context in developing states and providing evidence that challenges the assumption that ownership structure shapes the strategic outcomes for organisations.