Conceptual Model in Improving Internal Performance of a Company

Abstract

The purpose of this research to analyze the effect of Internal Supply Chain that influences the Company Operational Performance at PT. AST Indonesia Semarang. Quantitative method was use in this study and the instrument were using Structural Equation Model (SEM). The study involved 100 employees as the questionnaire respondents from 600 employee population that related with internal supply chain such as purchasing, production, incoming quality control, and material preparation. Simple random sampling was use at the quantitative research with proportional quantity of respondent that have taken in every department depend on total employee in each department. By using the result of data analysis, the research conclusion will be the basis for making policy suggestions on implications for the company as well as managerial implications although variables or indicators may find a bad or insignificant influence on the performance of PT. AST Indonesia. This study is expected to provide suggestions for improvements to strengthen the variables or indicators that will be important points that must be monitored and controlled by PT. AST Indonesia to achieve good performance.