Development of integration model of supply chain management and total quality management on company performance with competitive advantage as intervening variable

Abstract

This research aims to find out whether the integration with supply chain management and total quality management will provide a significant influence on company performance. The approach of supply chain management with four dimensions, namely: Strategic supplier partnership, customer relationship, Quality Information sharing, and level information sharing. Variable of total quality management is measured from Top Management, Customer focus, and continues Improvement. Variable of competitive advantage consists of two dimensions, which are Intangible Asset and Asset Tangible. As for variable of company performance measured by three indicators, financial performance, operational performance and performance-based marketplace. Data collection is gathered by distributing questionnaires'. The Analysis method used in hypothesis is Structural Equation Modeling (SEM) by using Partial Least Square (PLS). The research found that the integration of Supply Chain management and Total Quality Management have significant effect on the performance of the company.