Management Capability measures the application of management to the total organizational performance. Excellent in management capability leads to sustainable performance and business growth. Small and medium-sized enterprises (SMEs) in Malaysia, especially the Malays, are often confronted with problems that are uncommon to the larger organizations. One of the major problems in SMEs is management skill. Improving the management skills of SMEs contributes to their survival and growth. This paper aims to evaluate the management skills and competences of Malay SMEs in Malaysia based on ten major drivers using Management Capability Index (MCI). A total of 245 responses (Malay SMEs) had completed the questionnaires, and the Malay SMEs MCI is registered at 64.04 out of 100.