An Empirical Internal Perceptions Study of the Implementation Supply Chain Management in Indonesian Manufacturing Companies As a Mediating Factor of Information Technology Utilization to Organization Performances

Abstract

urpose - This study aims to analyze and explain the SCM practices as mediation of information technology on organizational performance in large-scale manufacturing enterprises. In addition, analyze and explain the direct influence of information technology on organizational performance.

Methodology - There are 140 large-scale manufacturing companies in East Java - Indonesia as the study sample. The method used was a survey. Manager SCM / logistics manager in the company as research respondents. Analysis using multivariate statistical methods SEM (Structural Equation Modeling).

Research Findings - Results showed that SCM practices are fully capable of mediating information technology to improve organizational performance. SCM is able to practice as a determinant of the success of the use of information technology to improve organizational performance.

Originality - (1) information technology can help the leadership to run the SCM practices in improving organizational performance. (2) the company's ability to creating proximity to customers (Customer relationship) and the closeness of the relationship with the supplier (supplier Close partnership), companies doing long-term contracts with suppliers and customers is key to success of information technology in order to improve organizational performance.

Keywords: Information Technology, SCM Practice, Performance Organization