Journal article

The Effect of Sustainable Practices in Supply Chain Department on Organisational Performance

Dina Hastalona Acim Heri Iswanto Dodik Ariyanto Juli Prastyorini Nur Ahmad Bi Rahmani

Volume : 9 Nomor : 5 Published : 2019, September

International Journal of Innovation, Creativity and Change.

Abstrak

The purpose of this paper is to examine the effect of sustainable practice related to supply chain department on an organisation’s overall performance. This study contributed to existing literature by empirically analysing the supply chain application and proposing a performance prototype. The prototype integrates two main features of supply chain application, interior and exterior controls, and examines the effect on sustainable development from all proportions. The study establishes a prototype to examine the effect of supply chain applications on a organisation’s performance, which includes economic, ecological and social parameters. Partial least square path modelling has been used to investigate the impact of supply chain applications, and findings reveal that interior controls applied through supply chain application has a very progressive effect on an organisation’s ecological and social performance. Furthermore, attaining ecological and social objectives will positively reflect in an organisation’s economic performance.