Identification of factors affecting productivity of small and medium scale enterprises in Sri Lanka: a case study on rubber manufacturing sector

The main purpose of this study is to identify the factors affecting the productivity of small and medium scale rubber manufacturing enterprises and to recommend actions to improve productivity. The study was mainly carried out through questionnaire survey and the supplement with interviews and a comprehensive literature review. The developed conceptual model suggests that four major variables such as technology adoption, innovation, human factors, cost and quality of raw materials that affect productivity. The analysis shows that the productivity is at low level mainly due to lack of innovative entrepreneurship spirits, a skilled labour force, linkages between large-scale industries and research and development institutions, low quality standard for rubber products, low level of information and communication technology usage and many other issues and barriers at operational, policy and strategic levels. The methodology employed and the policies derived can be used as guides to similar types of research in other countries as well.