Determinants of the Effectiveness of Supply Chain Management Implementation and its Impact on Operational Performance in the Footwear Industry

Abstract

This study aims to determine and examine the application of information systems, the role of leadership and business competition on the effectiveness of the implementation of supply chain management and operational performance in the footwear industry in the Bandung area, West Java province, Indonesia

This study uses a descriptive and verification approach, the research method used is a descriptive survey and an explanatory survey. In this study, the sample is Small and Medium Industry (IKM) Footwear in the Bandung Region, West Java Province, Indonesia as many as 143 IKM. The analytical method in this study uses SEM (Structural Equation Model) analysis. 

The results of the study conclude that there is a very significant effect of the Implementation of Information Systems and the Role of Leadership on the Effectiveness of the Implementation of Supply Chain Management except that business competition has no effect on the Effectiveness of the Implementation of Supply Chain Management. The magnitude of the influence of Information System Implementation is 17% and the Role of Leadership on the Effectiveness of Supply Chain Management Implementation is 23%, and there is a very significant influence of the Effectiveness of Supply Chain Management Implementation on the operational performance of the Footwear Industry in the Bandung Region 95%.