MODERATING EFFECT OF FUNDS AVAILABILITY ON THE RELATIONSHIP BETWEEN LEADERSHIP COMMITMENT AND ORGANISATIONAL READINESS FOR CHANGE; AN ANALYSIS ON LEAN READINESS ASSESSMENT
Keywords:
Lean readiness factors, Organisational Readiness for Change, Service SMEs, Leadership commitmentAbstract
This study examined the moderating effect of funds availability on the relationship between leadership commitment and organisational readiness for change through an analysis of Lean readiness assessment among service-oriented SMEs in Bauchi State, Nigeria. The study adopted a cross-sectional survey research design, and primary data were collected through structured questionnaires administered to 368 managers of service SMEs in Bauchi State. A multi-stage probability sampling technique involving stratified and simple random sampling was adopted, while data analysis and hypothesis testing were conducted using SMART-PLS 4. The findings revealed that funds availability has a positive and significant effect on Lean readiness in SMEs within the service sector in Bauchi State (β = 0.189, t-value = 5.387, p-value = 0.000). Similarly, leadership commitment was found to have a positive and significant effect on Lean readiness (β = 0.714, t-value = 26.147, p-value = 0.000), indicating that leadership commitment exerts the strongest influence on organisational readiness for change. Furthermore, the moderation analysis showed that funds availability significantly moderates the relationship between leadership commitment and Lean readiness (ß = -0.831; t = 18.143; p = 0.001), implying that adequate financial resources strengthen the ability of committed leaders to successfully implement Lean initiatives within SMEs. The study concludes that both leadership commitment and funds availability are critical determinants of Lean readiness among service-based SMEs in Bauchi State. The study recommends that SME owners and managers ensure adequate allocation and effective management of financial resources to support Lean transformation initiatives. It also recommends that leadership within SMEs demonstrate stronger commitment through active participation, strategic direction, and continuous support for organisational change processes
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Copyright (c) 2026 Idris Ridwan Parda, Mohammed Inuwa (Author)

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