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15Strategic management system in free zone operations
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Система стратегического управления деятельностью зон свободной торговли Аднан Юксель
Institute of Management,Bussiness and law, adnan [email protected]
Свободные экономические зоны имеют важное значение среди всех национальных и международных компаний. Для многих экономик объемы бизнеса и рабочие места, которые созданы на территории зон свободной торговли, крайне важны для занятости и трудоустройства населения. Также они являются важными факторами в экономической и социальной жизни многих стран. Общеизвестно, что свободные зоны являются самыми важными и успешными точками экономического роста в мире. На территории США расположено такое количество зон свободной торговли, что на их долю приходится более половины валового национального продукта данной страны и всей рабочей силы. Свободные зоны Европейского континента состоят из малых и средних свободных зон.
Система стратегическим управлением работы зон свободной предполагает, что необходимость постоянного, четкого и непрерывного контроля за ее деятельностью в условиях постоянных экономических изменений. Данные изменения требует стратегического управления и институцио-нализации всех механизмов управления ими. Ключевые слова: предприятия зон свободной торговли, Стратегическое Управление, Инсти-туционализация.свободная зона , стратегическое управление, институционализация
1.INTRODUCT1ON
The economies of countries operating in different fields, the size cases, the legal structures, the subjects of the production, the purposes and the organizational structures are different from each other. The development of the economic system and the acquisition of power are linked to the development and strengthening of companies (Bozkurt ve Babacan, 2012).
It seems simpler for free zone companies to adopt the regular management understanding necessary for institutionalization by using strategic management techniques. Strategic management is all about mission reporting, vision reporting, goal setting and goal setting to ensure that the company looks ahead confidently. Strategic management covers management plans that can be put forward regarding the company's present and future. It is thought that the steps of institutionalization in the free zone companies operating in accordance with the strategic management culture are faster than those of the free zone companies outside the strategic management culture. In this study, it is desired to investigate the reality of this thought.
The aim of this research is to reach a definitive result in order to reveal the knowledge levels, awareness, perceptions, applications and strategic management techniques of the enterprises operating in the Bursa Free Trade Zone.
The characteristics, advantages and disadvantages of free zone companies are examined in the study. The results of statistical analysis related to the research are explained with the help of tables and figures. Results and suggestions from research findings are included.
2. PROPERTIES OF FREE ZONE COMPANIES
The issue of importance in the free zones is the symbol of the capital and work that the person who founded the company has revealed for the company. Free zone companies are the result of the integration of managers and companies together (Khanin ve Mahto, 2012).
Free-zone companies are a network structure, and if that network is doing well, success is emerging. Below are the different factors that distinguish free-zone companies from other companies ^lgan, 2003):
- It is determined who will manage the company through the bonds they have.
- Free zone companies have a specific environment and established reputation. The behavior of company employees, whether in management or in the presence of others, affects the company.
- The position of free-zone companies also influences the position within the sector.
The features described above are generally found in all free zone companies. Most Free
Zone companies have these qualities. Even if we do not carry all of these qualities, companies that carry a few of these qualities are called free zone companies. Free zone companies, which have completed this stage of institutionalization, have begun to remove some of the emotional qualities that the company has earned from the free zone company and have begun to carry out a large corporate feature with written rules (Ak, 2010).
3. ADVANTAGES AND DISADVANTAGES OF FREE ZONE COMPANIES
Free zone companies have an important place in the world and in Turkey. This importance is due to the characteristics of the free zone companies themselves. The features also provide disadvantages to free zone companies.
3.1. Advantages of Free Zone Companies
Free zone companies have their own advantages. These advantages are listed below.
- Financing problems of free zone companies are provided from equity since the establishment phase. Their revenues are regarded as the transformation of the company into vital capital. Financial problems that may arise are removed from the company through solutions (Ankara Sanayi Odasэ, 2005).
- The reputation and acceptance of the free zone companies' environment is linked to the well-known and famous reputation of the company's management. This is an advantage in terms of saving time and money from the company's basic needs (Akdopan, 2000).
- The strength of free zone companies is related to the strength of the management that owns the company. Due to the fact that the shareholders of the company are coming from the same management members, the decision mechanism of the company is provided fast. It is accepted as an advantage that individuals who are in management have to devote themselves to their work (Alayoplu, 2003).
Table 1
Distribution of Descriptive Properties
Frcqucnc V Pcrccn t(%)
Gender Woman 42 24,6
Male 129 75,4
Total 171 100,0
Marital status Married 101 59.1
Single 56 32,7
1 )i vorced 12 7,0
His wife passed away 2 1,2
Total 171 100,0
Educational status Primary school 21 12,3
Middle School 19 11,1
High school 56 32,7
Associate 40 23,4
License 31 18,1
Master of Science 4 2,3
Total 171 100,0
Is your company established as a free zone company? Yes 69 40,4
No 102 59,6
Total 171 100,0
Number of employees in the company 1-10 113 66.1
11-20 30 17,5
21-30 14 8,2
31 -40 3 1,8
4) and over 11 6,4
Total 171 100,0
- The acceptance of the philosophy of management of free zone companies as a management philosophy causes the employees of the company to regard themselves as part of the company (Akdoрan, 2000).
3.2. Disadvantages of Free Zone Companies
Free zone companies also have disadvantages over other companies. These disadvantages are explained below.
The lack of cash, securities and immovable assets, especially when free zone companies are experiencing difficulties in financing, cause management companies to slow down their growth because their inhabitants are not warm enough to use credit (Karpuzoрlu, 2004).
The free zone company does not comply with the recruitment and placement rules by placing the unskilled employee of the free zone company in the position sought (Atero, 2003).
There is a difference in status between those who work in free zone companies and those who do not. This, in turn, causes the roles of the free zone companies to conflict with each other (Uluyol, 2004).
One of the biggest problems in free zone companies is the lack of institutionalization in planning. Failure to conduct business due to the death of one of the individuals in the
administration and the death of one of the individuals or due to the fact that they are ill at the time they are unable to serve can cause competition among management members. This leads to uncertainty in the company's policies and the company's continuity (Karpuzoplu, 2004).
Members who have participated in the outsourcing event cause competition within the management to occur (Uluyol, 2004, Tarcan, 2003).
4. RESEARCH
The reliability of the scale used in this part of the study included descriptive information about the sample group, the significance levels of the factors affecting strategic management and strategic management, and the test results of whether there is a meaningful relationship between career preferences and demographic variables. The findings obtained as a result of the analysis of the data are explained with the help of tables and figures.
4.1. Research Hypotheses
The hypothesis of the research that emphasized the importance of strategic management in free zone companies was developed based on the statistical relationships between the demographic variables defining the characteristics of participants and the factors in strategic management.
H1: There is a significant difference between participants' genders and their knowledge of the importance of strategic management.
H2: There is a significant difference between participants' marital status and their knowledge of the importance of strategic management.
H3: There is a significant difference between participants' educational status and their knowledge of the importance of strategic management.
H4: There is a meaningful difference between whether the company is established as a free zone company and whether it recognizes the importance of strategic management.
H5: There is a significant difference between the number of employees in the company and the importance of strategic management.
4.2. Scope and Constraints of the Study
The universe of the research (main
mass) constitutes a manufacturing enterprise with ten or more employees in the free zone operating in Bursa. A total of 171 enterprises, which are sufficient numbers to represent the universe from these enterprises, were identified by sampling technique and a survey was made on these enterprises.
In essence, the basis of the sampling technique; the inclusion of everyone who responds to the questionnaire. The easiest to find is the most ideal. Subject discovery continues until the desired sample size is reached (Altunэroэk et al., 2010).
The survey was conducted in free zone enterprises operating in Bursa. It can be argued that the results obtained together with the fact that it can not be generalized for all free zone enterprises can give an idea about the strategic management and applications in these enterprises. In addition, the study was conducted on free zone enterprises with 10 or more employees, which is considered to be an important constraint for research. Because there are a large number of manufacturing enterprises operating under these numbers in the region, but they have not been able to participate in the work. Questionnaires were sent to 171 business owners / managers and returned. The ratio of the sample size of the recycling to the sample size is 100.0%. This ratio is considered to be sufficient for this research.
4.3. Research Method
Research on the importance of strategic management in free zone companies consists of two main parts: research theoretical and practical. In the literatbre part of the study, books, articles, theses and
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internet sources were published which were published previously about career and personality issues. In the application part of the study, statistical methods analyzing the questionnaire data were used. The prepared questionnaire was applied to 171 persons working in free zone businesses operating in Bursa between 01.02.2016 and 30.03.2015. The questionnaire consists of two parts. In the first part, the demographic variables of the person are taken from the group which is determined as the sample of the company's ownership, the number of the employees of the company, the sample of the management of the company, and the demographic variables of the person, gender, age, marital status, education status, founder of the company, working time in the company, data were coded in the direction of information and data entries were made. In the second chapter; 1 = Strongly disagree, 2 = Not agree, 3 = Neither agree nor disagree, 4=Agree, 5 = Strongly agree. Data obtained from field studies were analyzed using the SPSS 23.0 program. Parametric hypothesis tests were used to determine the differences in the strategic management averages, which are the dependent variables of the research according to the independent variables collected during the second phase of the research. Independent Sample t-test (Independent Sample t-test) was used to investigate two independent group differences (Atorak et al., 2012: 200) in order to determine the differences between two independent groups. One-way analysis of variance (ANOVA) was used to compare the differences between the groups according to the variables when there were more than two independent groups (Atorak et al., 2012: 200).
4.4. Results
171 of the questionnaires that were recycled into the questionnaire were evaluated. All of the companies participating in the survey conform to the definition of the company as described in the Turkish Commercial Code. In this study, the questionnaire forms which are evaluated in relation to the free zone enterprises operating in Bursa show that the gender, age, educational level, proximity to the founder of the company, how many years the company has been operating, whether the company has been established as a free zone company, information about ownership, number of employees in the company, how the company is being managed right now.
According to the gender of the employees participating in the survey, 24.6% (n = 42), 75.4% (n = 129), according to marital status, married 59.1% (n = 101),
Table 2
Strategic Management Representation Engagement Table
Participation Rat e (%>
1 Our business lias a certain mission and vision. 88.8
2 Your busincss's mission and vision fully supports its business activities. 86.6
3 Our business lias its goals and objectives. 913
4 The strategic objectives of our business arc brought in written form with the consent of senior executives. 73.1
5 The strategic plan of Our business also includes procedures for performance differences and corrections. 80,7
6 It can quantitatively and measure the strategic objectives of our business. 87,8
7 Opportunities and threats around the world are examined while our business strategy is determined. 88,9
8 Alternative strategies are defined before our business strategy is determined. 90,6
9 The organizational structure of our business is adapted to the chosen strategy. 81,9
10 It is useful for us to operate strategic alliances that ean provide advantages in recruitment. 80.1
11 Human resources are of great importance when we reach strategic goals. 79,5
12 The lower-tier managers comment on business strategics. 76,6
13 The results and effectiveness of the strategies applied in our business are evaluated 83,7
14 Systematic monitoring, analysis and estimation of the effects of environmental factors that we operate are made. 87,7
15 The appropriate strategy is selected from alternative strategies. 86,6
16 When our business strategy is determined, the strengths and weaknesses of our business arc identified. 90,0
17 When our business strategy is determined, competitors' activities arc examined. 85,4
18 The views of the lower level managers are of great importance in the process of determining the strategies. 69,6
19 After our business strategy is determined, the relevant plans and budgets are made. 90,6
Table 3
Gender and Strategic Management Group Analysis
Group Analysis
Gender N Average Std. Deviation Std. lirror Average
Strategic Management Woman 42 3,5990 ,78246 .12074
Male 129 3,8783 ,74546 ,06563
single 32.7% (n = 56), divorced 7.0% (n = 12), widowed 1.2%, according to the educational status, 12.3% (n = 21) of primary school, 11.1% (n = 19) of secondary school, 32.7% (n = 56) of high school, 23.4% , 1 (n = 31), graduate 2,3% (n = 4),the company was established as a free zone company with 40.4% (n = 69), 59.6% (n = 102),The number of employees working in the company was 66.1% (n = 113) between 1-10 persons, 17.5% between 1120 persons (n = 30), 8.2% between 21-30 persons (n = 14) 1.8% (n = 3), 41% and 6.4% (n = 11) among 40 persons were found.
Employees who participated in the survey had a high participation rate of 91.3% in the statements of "Management has goals and objectives" which are among the strategic management expressions. "The opinions of the lower level managers are very important in the determination of the strategies" found a low participation rate.
As can be understood from the table above, the average knowledge level of strategic management of 42 female employees participating in the research was 3,5990 while the average knowledge level of strategic management of 129 male employees participating in the survey was 3,8783.
Table 4
Gender and Strategic Management Perception Independent Sampling T-Test
Independent Sampling T-Test
Strategic Management Levene Testi Equality oft-test vehicles
F Sig. t df Sig. (2-tailed) Average Difference Sid. Error Difference 95% Confidence Interval Difference
Lower Upper
Equal variances arc assumed ,045 ,833 2,083 169 ,039 -,27931 ,13400 -,54395 -,01466
Equal variances are not assumed 2,032 6íí,940 ,046 -,27931 ,13742 -,55361 -,00500
Table 5
Marital Status and Strategic Management Descriptive Statistics Table
Descriptive Statistics
Strategic Management Average 95% confidence interval Minima in Maximum
N Averag e Std. Deviation Std. Error Lower Limit Upper Limit
Married 101 3,8306 ,74783 ,07441 3,6829 3,9782 1.42 5,00
Single 56 3,8915 ,70353 ,09401 3,7031 4,0799 1.79 5,00
Divorced 12 3,3874 .97426 ,28124 2,7684 4.0064 1.84 4,79
His wife is dead 2 3,0000 1,11648 ,78947 -7,0312 13,0312 2,21 3,79
Total 171 3,8097 ,76198 ,05827 3,6947 3,9247 1.42 5,00
Table 6
Marital Status and Strategic Management Expressions Anova Table
ANOVA
Strategie Management
Sum of squares df Squares average F Sig.
Between groups 3,870 3 1,290 2,271 ,082
Within groups 94.835 167 ,568
Total 98,705 170
Table 7
Educational Status and Strategic Management Descriptive Statistics Table
Descriptive Statistics
Stratege Management
Averag e Std. Deviation Std. Error Average 95% con Tidence interval Minimu m Maximum
N Lower Limit Upper Limit
Primary school 21 3,7565 ,79598 ,17370 3,3942 4,1188 1.84 4,84
11 3 w 19 3,3463 .87461 ,20065 2,9247 3,7678 1,63 4,37
High school 56 3,9115 ,71255 ,09522 3.7207 4,1024 1.79 5,00
Associate 40 3,8158 .84799 .13408 3.5446 4,0870 1.42 5,00
License 31 3,9406 .58541 .10514 3,7258 4,1553 1.84 4,79
Graduate 4 3,7895 ,50299 ,25150 2,9891 4,5898 3,05 4,16
Total 171 3,8097 .76198 ,05827 3.6947 3,9247 1.42 5,00
Table 8
Education and Strategic Management Expressions Anova Table
ANOVA
Strategic Management
Sum of squares df Squares average F Sig.
Between groups 5,255 5 1,051 1.856 ,105
Within groups 93.450 165 ,566
Total 98,705 170
We find that the mean level of knowledge of strategic management of men and women is significantly different when we have a
significance level of 0,039 <0,05 in our analysis. H 1 hypothesis is accepted if p <0.05 for strategic management. So; The level of
strategic management knowledge of employees is significantly different according to gender groups.
According to marital status groups of employees, the level of strategic management knowledge (3.8915) of single employees is the highest, while the level of strategic management knowledge (3,000) of employees who have a partner is the lowest.
According to F test result made at 95% confidence level, significance value for strategic management knowledge levels was found as p = 0,082> 0,05. The level of strategic management knowledge is rejected as the significance value p> 0.05, H2 hypothesis is rejected. So; The level of strategic management knowledge of employees does not differ significantly from that of marital status groups.
The level of strategic management knowledge (3.9406) of the employees with bachelor's degree and the level of strategic management knowledge (3.3463) of the employees with junior high school graduates are the lowest according to the education status groups of the employees.
The significance value for strategic management information levels according to F test result at 95% confidence level was found as p = 0,105> 0,05. Strategic management knowledge levels are rejected if the significance value p> 0.05 is H3 hypothesis. So; The level of strategic management knowledge of employees does not show any significant difference according to educational status groups.
As can be understood from the above table, the average level of knowledge of strategic management of 69 employees was found to be 3,8588, while the average level of knowledge of strategic management of employees who stated that 102 companies participating in the survey was not established as a Free Zone company was found to be 3.7765.
In our analysis, we found that the significance level of strategic management was not significantly different for employees who expressed that the company was established as a Free Zone company with a significance value of 0,490> 0,05. For strategic management, p> 0.05, the H4 hypothesis is rejected. So; The level of strategic management knowledge of the employees does not differ significantly according to the expression groups whether the company is established as a Free Zone company.
The company also employs 31-40 between stated that employees of strategic management information level (4.4035), the highest level, while the number of employees
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of 41 and strategic management knowledge of expressing that runs above (3.6268) is at the lowest level.
According to the F test result made at 95% confidence level, the significance value for strategic management information levels was found as p = 0,550> 0,05. Strategic management knowledge levels are rejected when the significance value p> 0.05 is H5 hypothesis. So; The level of strategic; management knowledge of employees does not differ significantly according to the number of employees in the company.
5. CONCLUSION
Of the employees who participated in the survey, 75.4% were male, 59.1% were married, 32.7% were high school graduates, 59.6% were not established as free zone companies, 66.1% It was found to work between 10 people.
The level of strategic management knowledge of the employees of the free-zone companies whose males, bachelor's graduates, those who do not work in the free zone companies, and the number of employees is between 31-40 are high.
It was found that there was a significant difference between the genders of the survey participants and the levels of strategic management knowledge. As can be seen from the examination of the hypotheses, the knowledge of the strategic management of employees in enterprises varies depending on whether they are male or female. Although men have been found to give more importance to strategic management, it is not unlikely that this result will come about when more than half of the respondents are male. Besides, it is natural that free zone companies should place importance on strategic management. It is thought that employees are backed by business owners in this regard, and business owners' companies are supporting this management system in terms of continuity and more earnings.
Each country should establish a strategic management model of free zone management in accordance with its own conditions and value systems. While this form of government is being established, it should be taken into consideration that a common life is maintained together with the whole society. The problems that globalization brings are the general problems of the whole society, but these problems are not shared by people. So the main problem is how to solve the problems of the management problems and how to manage the problems in the management of the enterprise and how to divide the responsibility of the problems and the cost justly to other
Table 9
Strategic Management Group Analysis of the Company as Not Established as a Free Zone Company
(irup Aiuilizi
Company as Not Established as a Free Zone Company N Mean Std. Deviation Std. Error Mean
Strategie Management Yes 69 3.8588 ,77271 ,09302
No 102 3,7765 ,75666 ,07492
Table 10
Strategic Management Information of the Company as Not Established as a Free Zone Company Independent Sample T-Test
Independent Sample T-Teet
Strategic Management Levene Testi Equality oft-test vehicles
F Sig. t df Sig. (2- Average Std. Error Difference 95% Confidence Interval Difference
tailed) Difference Lower Upper
Equal variances are assumed ,540 ,464 ,691 169 .490 ,08224 .11896 -,15259 .31707
Equal variances are not assumed. ,689 144,028 ,492 ,08224 ,11944 -,15384 ,31833
Table 11
Number of Employees in the Company and Strategic Management Descriptive Statistics Table
Descriptive Statistics
Strategic Management
N Average Std. Deviation Std. Error Average 95% confidence interval Minimum Maximum
Lower Limit Upper Limit
1-10 113 3,7856 ,73400 ,06905 3,6488 3,9224 1,79 5,00
11-20 30 3,90 S Й ,63714 .11633 3,6709 4, ¡467 1,47 5,00
21-30 14 3,8083 ,92681 ,24770 3,2731 4,3434 1,63 4,79
31-40 3 4,4035 ,63450 ,36633 2,8273 5,9797 3,74 5,00
41 and over 11 3,6368 1,13285 ,34157 2,8657 4,3879 1,42 4,63
Total 171 3,8097 ,76198 ,05827 3,6947 3,9247 1,42 5,00
Table 12
Number of Employees in the Company and Strategic Management Expressions Anova Table
ANOVA
Strategic Management
Sum of squares df Squares average F Sig.
Between groups 1,786 4 .446 ,765 ,550
Within groups 96,919 166 ,584
Total 98,705 170
Table 13
Hypothesis Table
Hypothesis Hypothesis ACCEPT/ NOT ACCEPTED
Hi There is a significant difference between participants' genders and their knowledge of the importance of strategic management. ACCEPT
Hj 'Hiere is a meaningful difference between participants' marital status and their knowledge of the importance of strategic management. NOT ACCEPTED
H3 'Hiere is a meaningful difference between participants' educational status and their knowledge of the importance of strategic management. NOT ACCEPTED
H, There is a meaningful difference between whether the company is established as a Free Zone company and whether it recognizes the importance of strategic management NOT ACCEPTED
Hi There is a meaningful difference between the number of employees in the company and the importance of strategic management. NOT ACCEPTED
stakeholders. If free-zone enterprises are currently seeking solutions to management problems and generally implementing
strategic management, they must first achieve realization of the funding and management of the business as a whole.
Strategac management system an free zone
operataons Adnan Yuksel
IMBL Business Department, Institute of Social
Sciences, [email protected] Free zones are located in a significant place among all national and international companies. For many economies the business volumes and the jobs they have are important for employment. They are important factors in the economic and social life. According to the fact that different sources have done differently, the number of free regions in the world is less than the number of companies all over the world. It is known that very small free zones cover a large part of this ratio and will definitely grow and change. It is also known that free zones are the most important and successful companies in the world. The United States, which is at the head of developed countries, is the country with the most free zones. It has more than half of the gross national product of the country and the whole workforce. The free zones of the European continent are composed of small and medium sized free zones. The biggest companies come from the companies of the free zones. Outside of China, in other countries, free zone companies occupy a significant place in the country's economy. In South America, south of the American continent, free-zone companies are industrial companies.
This work suggests that it is necessary to manage well with the free zone company profile for their continuity. Systematically, the dynamics of the free zone companies system are constantly evolving, the growth of the companies, the cultural environment and the competition conditions vary. This change necessitates strategic management and institutionalization. Strategic management of free zone companies, implementation models and a model proposal are introduced. Institutionalization, the application of strategic management in order to make a correct and rapid decision is a matter that should be emphasized for the continuity of free zone companies.
Keywords: Free Zone Companies, Strategic Management, Institutionalization
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