Implications of Supply Chain Management and Total Quality Management Implementation for Operational Performance
Abstract
This study identifies the repercussions of the adoption of supply chain management (SCM) and the implementation of total quality management (TQM) for operational performance in the shoe industry in West Java, Republic of Indonesia. A survey questionnaire was used, with 291 respondents from the shoe industry that has implemented SCM alongside TQM. This study explores the implications of SCM and TQM for operational performance. The approach in this study uses structural equation modeling (SEM) to investigate the relationship between the variables studied. The findings revealed that the implementation of SCM and the adoption of TQM have an excellent and substantial effect on operational performance. Nevertheless, the implementation of SCM is considerably rated preferable to the incorporation of TQM for operational performance. Consequently, the adoption of SCM has the largest variable influence on operational performance.
Keywords: supply chain management, total quality management, performance, industry, management.
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