Indonesian Furniture Research Articles

Exploring The Effects Of Entrepreneurship Competency And Environmental Adaptability On Marketing Performance: Business Strategy Mediation In Himki Jepara

Abstract . This research investigates the influence of entrepreneurial competence and the ability to adapt to the environment on marketing performance in Small and Medium Enterprises (SMEs) in the furniture industry sector in Jepara, by considering the mediating role of business strategy. In the midst of globalization and intense competition, entrepreneurial competence, which includes managerial ability, innovation and risk taking, as well as environmental adaptability, which includes flexibility and response to market changes, have become key factors in improving marketing performance. This research uses a quantitative approach with correlational study methods and Partial Least Squares (PLS) statistical techniques to analyze data from 194 respondents who are members of the Jepara Indonesian Furniture and Crafts Industry Association (HIMKI). The research results show that entrepreneurial competence and environmental adaptability have a positive and significant influence on marketing performance. In addition, business strategy functions as a mediator in the relationship between entrepreneurial competence and marketing performance as well as between environmental adaptability and marketing performance. These findings emphasize the importance of developing entrepreneurial competence and adaptability as factors that not only have a direct impact on marketing performance but also through more effective business strategies. This research provides valuable insights for furniture entrepreneurs in Jepara in optimizing their marketing performance in a dynamic and competitive business environment.

Perancangan Aplikasi Penjualan Furniture Berbasis Android

Furniture has high added value and significant global competitiveness, largely due to the diversity of natural raw materials available in Indonesia, such as wood, rattan, and bamboo, as well as distinctive and high-quality designs. This advantage is supported by the skills and competence of the available human resources, making Indonesian furniture superior to products from other countries. Product quality is a key element in winning market competition, as it impacts customer satisfaction and loyalty. Masnur Joglo, a furniture company located on Jl. Muara Karya, specializes in producing various types of furniture from high-quality woods such as super mahogany and red teak. However, the purchasing system, which requires customers to visit the store directly and manually record prices, results in inefficiencies in terms of time and transportation costs. Customers often need to visit multiple stores to find the desired product, which is an inefficient process. To address these challenges, this study proposes the development of an Android-based sales application as a solution. This application is designed to expand Masnur Joglo's market reach and facilitate online ordering of furniture products, anytime and anywhere. The study aims to design and develop an Android-based sales information system that can enhance operational efficiency and streamline the sales process while better meeting customer needs. The application development method employs the waterfall model and uses MySQL and Firebase databases.

Enhancing Nogi Livin’s Brand Awareness: A Customer Decision Journey Perspective through Social Media

This study investigates the effectiveness of digital marketing strategies employed by Nogi Livin, an emerging Indonesian furniture company, in enhancing brand awareness and influencing customer decision journeys. The global furniture market’s expansion is leveraged by digitalization and changing consumer preferences, presenting challenges and opportunities for companies like Nogi Livin. Using the McKinsey Consumer Decision Journey Model, this research delineates the impact of social media strategies on customer engagement and purchasing decisions. A mixed-method approach, including quantitative data from online surveys and qualitative insights, was employed. Structural Equation Modeling (SEM) was used to measure the relationship between online presence and brand awareness, and subsequently, the influence of brand awareness on customer engagement. Findings indicate a significant positive correlation between strategic online engagements and enhanced brand awareness, which strongly links to increased customer engagement and positively affects the consumer decision journey. This research contributes to theoretical and practical understandings of digital marketing’s impact in the furniture industry.

Reducing Production Defects in Indonesian Furniture Using Seven Tools and 5W+1H

PT. Romi Violeta, an Indonesian furniture company specializing in rattan and wood products, faces frequent production defects. This study aims to identify and reduce these defects using the Seven Tools and 5W+1H methods. Qualitative data were obtained through field observations and interviews, while quantitative data were gathered using the Seven Tools approach. From February to June 2022, color variation was the most frequent defect, with the highest defect rate in March at 26.5%. Root causes included factors related to man, material, machine, method, and environment. The proposed corrective actions aim to minimize these defects, enhancing overall product quality. Future research should explore additional defect causes using different methodologies. Highlight: Defect Analysis: Identified color variation as the most frequent defect. Root Causes: Man, material, machine, method, and environment factors. Corrective Actions: Proposed solutions to minimize defects and enhance quality. Keywoard: Production defects, Seven Tools, 5W+1H, quality improvement, furniture manufacturing

Boosting Employee Performance through Culture, Compensation, and Motivation in Indonesia

In the context of today's advanced economic development, companies aim to create jobs and improve the economy. This study examines the influence of organizational culture, compensation, and work motivation on employee performance at PT. Romi Violeta, a furniture company. Despite extensive research on employee performance determinants, the specific impacts of these factors within the Indonesian furniture industry remain underexplored. This study addresses this gap by utilizing a quantitative method with a sample of 133 employees selected through purposive sampling. Data analysis was performed using multiple linear regression with SPSS version 22. The findings reveal that organizational culture, compensation, and work motivation each positively affect employee performance. Furthermore, when considered together, these factors significantly enhance employee performance. Among them, compensation is the most dominant factor due to the substantial impact of adequate wages on optimizing employee performance. These results suggest that fostering a strong organizational culture, providing fair compensation, and enhancing work motivation are crucial strategies for improving employee performance in similar industrial contexts. Highlight: Positive Impacts: Organizational culture enhances employee performance. Dominant Factor: Compensation most influences employee performance. Combined Effect: Culture, compensation, and motivation jointly boost performance. Keywoard: Organizational Culture, Compensation, Work Motivation, Employee Performance, Quantitative Analysis

Determinants of Market Performance: The Role of Proactive and Reactive Innovation on Product and Organizational Innovation

This study is to investigate the inconclusiveness of product innovation on market performance in the context of Indonesian furniture company association’s members (HIMKI). We refer to Resource Advantage Theory of Competition to develop an integrated model using proactive and reactive innovations as independent variables while product and organizational innovations as mediating variables. The population of this research is 227 furniture companies with the minimum revenue of over IDR 5 billion per year and remains in business for the last of five consecutive years. We use simple random sampling techniques and 143 companies were selected as respondent then analyzed using Structural Equation Modeling. The result finds that product innovations directly and indirectly effect significantly by proactive and reactive innovations on market performance. Surprisingly, organizational innovation does not effect significantly on market performance neither as its mediating variable of proactive innovation. The originality of this study is that, this integrated model proves the direct and indirect effect of proactive and reactive innovation on product innovation and market performance significantly positive. This study has successfully identified adoption level of innovation that makes organizational innovation has no effect on market performance.

Enhancing Competitiveness in Indonesia's Furniture Craft Industry: A Five Porter Analysis

Indonesia's craft industry, encompassing traditional crafts such as batik printing, weaving, and furniture, plays a vital role in the nation's cultural identity. Micro, Small, and Medium-sized Enterprises (MSMEs) are key players, propelling the growth of creative cities. Among them, the furniture industry is prominent, despite a minor dip in 2022 exports. Notably, the United States accounts for 58.5% of Indonesian furniture exports and is the main export destination. This study employs the Five Porter Analysis to explore external factors influencing the furniture craft sector. The findings emphasize the importance of ensuring a stable supply of raw materials, aligning products with international preferences, promoting sustainable resource management, fostering innovation, and navigating international trade regulations. Government support is pivotal. The results demonstrate the need for a comprehensive strategy to sustain competitiveness. It calls for capacity building, market research, and global collaboration to strengthen Indonesia's position in the international market. This research offers valuable insights for policymakers, industry stakeholders, and MSMEs to enhance Indonesia's furniture craft industry's competitiveness while preserving its rich cultural heritage.

The Role of English in the Business World for Import-Export Entrepreneurs: Insight from the Indonesian Furniture Industry

<p>In the era of globalization, communication or relations between countries, commonly referred to as international communication, is progressing in all countries. The role of English in the relations of a country is essential, especially in the business world, for example, the Import Export business, whose activities include importing and exporting goods from one country to another. This study aims to describe the roles of English in the world of import-export business in Indonesia, especially the furniture industry in Jepara Regency. This study employed a qualitative method. Data were collected from semi-structured interviews with an owner from the furniture Industry in Jepara, Indonesia, and several literature sources, research institutes, and government agencies. The findings reveal that English has an important role as an international communication tool and as a main to reach marketing. In addition, it is useful for building communication with people from various countries. Based on the results of this study, it can be concluded that the role of English is very crucial for a successful business, especially in terms of export-import with other countries.</p>

The Design of Indonesian Furniture as a Solution to Human Life Balance Issues Post-COVID-19 Pandemic

The focus on achieving life balance has been widely discussed in various aspects of human life after the COVID-19 pandemic. The increased stress level results from losing boundaries between work and other aspects of life due to the lack of physical and temporal limitations, causing an imbalance. As one of the world's furniture material producers, Indonesia needs to improve its design's quality for the export market. This paper discussed the solution of interior product design for the European export market as an activity that helps to address the imbalance of human life after the pandemic. The authors applied the Kelley design thinking method through the stages of empathizing, defining, ideating, prototyping, and testing. The wellness, sustainability, and home sweet home concepts were applied to the design as the emerging megatrends in Europe while also considering the sustainable global cultural and aesthetic aspects. Natural materials from Indonesia were applied with this consideration. The main focus of the design system is on the easy installation concept to achieve product shipping efficiency to the European market. Three designs are discussed in this paper, including the Rotan Storage Credenza, Multifunctional Lounge Chair, and Sisal Lounge Chair. The resulting designs are expected to solve the European market's problems after the pandemic. The designs must still be tested in the market through e-commerce and internationally recognized exhibitions.

Strategic Design to Increase Indonesian Furniture Industry Export Competitiveness

Furniture, a high-value-added product, is considered one of the strategic commodities for the economy in Indonesia because it is globally competitive. The furniture industry in Indonesia has grown by relying on local raw materials and human resources to keep its existence in the market. Despite Indonesia being known as a significant producer of raw materials for furniture due to its forestry area, the furniture export value is far behind compared to export value abroad. The offered price and appearance from abroad are more attractive than Indonesia's products. Therefore, there is a need to evaluate what factors influence the success of an industry. In general, the industry's success is mainly influenced by the interaction quality among all actors in the industry, either internal or external parties. Thus, the furniture industry needs to manage not only within the industry but also its supply chain effectively and efficiently. This study would like to evaluate the criteria and sub-criteria influencing the furniture industry's export competitiveness based on its supply chain, including circular economy implementation, and propose strategic recommendations. This study applies three methods: cut-off point, Analytical Network Process (ANP), and semi-standardized interview. The finding of this study indicates that the sub-criteria with the most decisive influence on Indonesia's furniture export competitiveness are operation cost, collaboration, and quality, respectively. Furthermore, a collaborative strategy between stakeholders in the furniture industry is proposed to increase the efficiency of operational processes, save operating costs, and increase product quality.

Daya Saing Industri Furnitur Indonesia dalam Perdagangan Global (Studi Komparasi dengan Vietnam)

Furniture products with significant value added are increasingly being seen as a strategic objective for the industry of forest product. Furniture is one of the strategic commodities for the Indonesian economy. One of the pillars which determines the competitiveness of export furniture products is marketing. This study aims to determine the competitiveness of the Indonesian furniture industry in terms of marketing. In this case, Vietnam used as an object of comparison since they has been Indonesia's main competitor in the furniture trade for decades. The data was obtained by using literature study method. This research used mixed method 5P marketing analysis which consists of position, product, place, promotion, and price. The competitiveness of Indonesian furniture industry was still relatively low compared to Vietnam’s. In terms of position, Indonesia and Vietnam have market segments which are sensitive to illegal timber such as the United States and the European Union. Even though Indonesia already has a timber legality assurance system through the Timber Legality Verification System (SVLK), the export values of Indonesian furniture is still less than Vietnam. From a product perspective, Indonesian furniture industry is slightly greater than Vietnamese furniture industry. Indonesia has reached the level of augmented product, greater than Vietnam, which is mostly still a core product. However, Vietnam's furniture industry is experiencing a fairly rapid development. Currently, Vietnam's timber products are in demand with the international market due to their innovative designs. In terms of location (distribution), both countries are being assisted from easy access to global shipping. In terms of promotion, Indonesia needs to emulate Vietnam by facilitating the furniture industry (especially small and medium industries) to participate in international exhibition activities, so as to expand the furniture market network. In term of price, Vietnam is greater in offering lower prices since it was supported by the availability of abundant labor at low prices and investment support. Meanwhile, Indonesia has the advantage of the large availability of raw materials from production forests.

Desain dan Pembuatan Mesin CNC Milling untuk Pembuatan Ukiran Kerajinan Kayu

<p>The furniture industry is an industry that processes raw materials or semi-finished materials from wood, rattan and other natural raw materials into finished products that are ready for use and have higher added value. There are many furniture industries spread across Indonesia, with quite large centers located in Jepara, Sukoharjo, Surakarta, Klaten, and others. Along with the development of industrial technology, making work becomes more efficient and easier. Therefore, it is necessary to apply technology in the industrial world in Indonesia, especially in the furniture industry. The current technology commonly applied to the furniture industry is the CNC milling machine. The use of this CNC machine aims to solve problems in the production of wood carving crafts or furniture, such as mass products that cannot be the same and product processing time that cannot be ascertained. Besides, the use of this CNC machine can reduce cycle times and increase the work efficiency of the furniture industry. Based on this information, we had the idea to make this CNC milling machine to support the progress of the Indonesian furniture industry. During the manufacturing of this CNC machine, we carried out theoretical research and field surveys. The research stages we carried out were identification of needs, problem formulation, synthesis, analysis, evaluation and presentation. Based on these results, it was found that the workable raw material had a maximum dimension of 40 × 40 [cm], a maximum feed rate of 192 [mm/min], a maximum spindle rotating speed of 12,000 [rpm] and a cutting velocity of 75.4 [m/min].</p>

Production efficiency in handicrafts manufacturing on the example of decorative ceramics: the use of training for making craft products made of glass fiber reinforced concrete

This study aims to determine the benefits of training in making decorative pots with GFRC material to increase production time efficiency. The glass fiber reinforced concrete (GFRC) is a material technology in the manufacture of handicrafts using a mixture of cement, milk, and glass fiber. Training to make handicrafts from GFRC material is one alternative to increase the efficiency of ornamental pot products. This study used the descriptive qualitative method. The research was carried out in a special area of Yogyakarta by involving 20 members of the Indonesian Furniture and Handicraft Industry Association (ASMINDO) Yogyakarta. Data were obtained by direct observation of the training activities carried out. The data were analyzed using the Miles and Huberman model, namely data reduction, tabulation, data presentation, and concluding. The results showed that the training was carried out by considering the curriculum, training materials and methods, experimental processes, and production efficiency. Participants were able to make four new pot models according to the trend of craft product design. New models and manufacturing methods can be used as a reference to produce shapes and finishes. The participants felt the benefits and applied this technique in the craft production process. Therefore, the effectiveness of productivity and the economy and welfare can be increased in MSMEs in Yogyakarta.

Assessing enablers to a circular economy in Indonesian furniture industry using Fuzzy-DEMATEL

The furniture industry is one of the leading sectors and has a positive trend in Indonesia’s industrial sector. However, currently, there is a gap between supply and demand for timber and environmental impacts problem. The circular economy model entered as a restorative or regenerative concept to optimize resources and waste minimization. This research is conducted to assess the factors that drive the implementation of circular economy in the Indonesian furniture industry. The Fuzzy-Dematel was used to find the factors that were contributing to the implementation of the circular economy. As a result, the cause group consists of knowledge of circular economy, government support & legislation, consumer awareness, the business principle for the environment, and scarcity of resources. Furthermore, the effect group consists of resources efficiency, economic (financial), technology availability, environmental safety & management, customer-supplier collaboration, corporate image, consumer demand, increased value products, and cost reduction. In addition, some strategies for the government and industry were proposed for circular economy implementation in the Indonesian furniture industry.

A novel optimisation model in the collaborative supply chain with production time capacity consideration

PurposeThis study aims to propose an optimal procurement model of the collaborative supply chain in the furniture industry. The final output is the total cost minimisation to produce a furniture product that covers material cost, processing cost, transportation cost and holding cost. Therefore, if companies can give the best value to customers at a low cost, then competitive advantages can be achieved.Design/methodology/approachA genetic algorithm (GA) as a metaheuristic approach was used to solve problems in this research. The optimisation was initiated by developing a mathematical model to formulate the objective function.FindingsBased on the case study, the proposed GA model was able to reduce the total cost of production. The cost was reduced by 73.09% compared to the existing system. Besides, the production time of the proposed model is within the capacity of both companies; hence, no penalty cost is imposed.Practical implicationsThe proposed GA model has been implemented and tested to minimise production costs in the Indonesian furniture industry.Originality/valueTo the best of author knowledge, there is no research has proposed an optimisation model that incorporates production cost, transportation cost and production time capacity together in the collaborative supply chain. This research is the first to collaborate these factors using GA in the furniture industry.

Minimizing waste using lean manufacturing and ECRS principle in Indonesian furniture industry

The manufacturing industry is considered as one important sector, which has a significant influence on the economic growth of a country. The increase of fierce competition among products requires t...

ANALISIS PROSES PACKAGING DAN STUFFING PERUSAHAAN FURNITUR LOKAL DALAM MENJAGA EKSISTENSI PERSAINGAN GLOBAL (STUDI KASUS: UD SURYA ABADI FURNITURE, SUKOHARJO, JAWA TENGAH)

Indonesia has great potential in developing the furniture industry sector. The abundance of raw materials and high labor numbers should be optimized to encourage the furniture industry in Indonesia in the international furniture trade. However, in reality, the Indonesian furniture industry has increasingly been eliminated in the arena of international furniture trade. Therefore, it is necessary to consider how the furniture industry actually manages the company. One of the influential factors in furniture exports is how to manage the supply chain or logistics of the furniture industry, where one of them is related to the process of packaging and stuffing of furniture products. As a representation, this study tries to describe how the packaging and stuffing process is carried out by UD Surya Abadi Furniture, one of the furniture industries located in Sukoharjo Regency, Central Java. This research is a descriptive study, where data is collected by observation, interview, and documentation techniques. The results of this study discuss the packaging procedures, materials used and feasibility tests, and how the procedures and benefits obtained from the stuffing process at UD Surya Abadi Furniture. The conclusion obtained is that the description of the packaging and stuffing process that is carried out is quite good with the use of materials that meet the standards. Nevertheless, the process of packaging and stuffing at UD Surya Abadi Furniture is still done with manual counting so that it is not optimal.

Renting legality: How FLEGT is reinforcing power relations in Indonesian furniture production networks

Over the past few decades, transnational and supranational market-based forest governance systems have been developed to address the complex problems associated with deforestation, by improving the legality and sustainability of timber traded in global markets. This is catalysed by the increasing global production and consumption of timber products and increasing sensitivity of interest groups to how timber products are produced. A broad range of actors is involved in global production networks. This paper discusses how hierarchies and networks of power across the timber production network are encountered and negotiated. More specifically, it investigates the power constellations of wood furniture actors in Indonesia, nested within global production networks: who holds the power, how power is gained and maintained, and who wins and loses over time. Using the case of the timber legality assurance system in the context of the European Union Forest Law Enforcement Governance and Trade (FLEGT) initiative, we demonstrate that legality verification in Indonesia is both entrenching pre-existing inequitable power relations while producing new modes of elite capture. Legality verification requires new knowledge and additional costs that are sometimes beyond the capacity of certain (particularly smaller) furniture manufacturers operators. This has driven a new practice of renting out FLEGT licenses by larger producers/manufacturers to smaller ones in the country. Although the practice implies potential risks (e.g. fines), large companies in Indonesia manage risk by drawing from pre-existing patronage relations. They also appear to find the risk worthwhile, as it produces financial gain but moreover, a new form of control over the market. Meanwhile, small operators and artisanal producers that still aspire to global markets face disproportionate challenges to engage in legality and are becoming more vulnerable as a result of new legality measures.

The Influence of Scandinavian Furniture Design in the Development of Modern Rattan Furniture in Indonesia

<p>In Indonesia, rattan is one of the natural resources used for furniture materials such as wood. Therefore, rattan furniture has grown has long been developed since the traditional model and developed rapidly in the era of modern design. In the period of traditional furniture, rattan furniture was viewed as cheap furniture, quickly damaged and therefore rarely used for middle-class home furnishings. With the efforts of several design lecturers who are also furniture designers, rattan furniture was then developed with a modern design approach with influence from Scandinavian furniture design. As a result, modern rattan furniture can be accepted into middle-upper class. This study aim is to examine the influence of Scandinavian furniture design particularly Danish furniture design in the early development of modern rattan furniture design in Indonesia. The influence will be describe in two ways those are product design concepts acquired from Scandinavian design media and academic influence from Indonesian designer who study in Scandinavian countries and develop the rattan furniture in Indonesia. This paper uses the comparative study method to gain an understanding and description of Indonesian rattan furniture design with the influence of Scandinavian furniture design especially Denmark. The result show that Indonesian furniture designers are able to adopt the characteristics of mdoern Scandinavian furniture design that is generally made of wood into the modern design of rattan furniture.</p><p> </p><p> </p>

Sustainable-value stream mapping to evaluate sustainability performance: case study in an Indonesian furniture company

Lean manufacturing tools do not consider environmental and societal benefits. The conventional value stream mapping (VSM) methodology examines the economics of a manufacturing line, most of which are in regards to time (cycle time, lead time, change-out time, etc.). Incorporating the capability to capture environmental and societal performance visually through VSMs will increase its usefulness as a tool that can be used to assess manufacturing operations from a sustainability perspective. A number of studies have addressed the extension of VSM to incorporate additional criteria. A vast majority of these efforts have focused on adding energy-related metrics to VSMs, while several other studies refer to ‘sustainable’ VSM by including environmental performance in conventional VSMs. This research has developed a method for VSM integrated with environment metric and social metric for ensuring sustainable manufacture. The proposed technique is capable of visualizing and evaluating manufacturing process performance from sustainability view point. The capability of proposed technique has been tested by an application study on furniture company. The study provides insights to practitioners to visualize process performance in economic, environment and social metric.