INTERNAL SUPPLY CHAIN INTEGRATION AND OPERATIONAL PERFORMANCE OF INDONESIAN FASHION INDUSTRY FIRMS

Abstract

Purpose: The objective of the current study is to inspect how risk affects the success of supply chain integration, following the SCI concept and implementing integration framework, together with its relational view. The prime objective of the current study is to investigate the relationship between supply chain integration, supply chain risk practices and supply chain performance
 Methodology: Integrating operations of supply chain with suppliers and customers, allow companies to streamline and improve data exchange and information that could result in the betterment of material and product flows within the SC.
 Results: We particularly explore how risk at country level in the form of rule of law influences the operational performance of SCI through its innovativeness and cost. Furthermore, we aim to explore how risk management practices of SC can be connected under different scenarios of risk and uncertainty. The current study has used SEM-PLS as a statistical tool to answer the research questions raised in this study and research objectives envisaged in the current study. The findings of the study have provided support to the theoretical foundation and proposed hypothesis of the current study. Current study will be helpful for policymakers and practitioners in understanding the issues related to supply chain risk, supply chain integration and supply chain performance. In the author's knowledge this is among very few pioneering studies on this issue.