Measurement Of Supply Chain Management Performance On Bika Products Using Halal Guarantee Criteria (SJH) With The Scor Model

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Introduction

In the halal industry world, the measurement of supply chain performance is a crucial aspect for every small and medium business (UKM) and business people involved. This research focuses on CV. Bika Ambon Zulaikha, a company located in North Sumatra, which only produces Ambon Bika and aims to evaluate the extent of the application of halal criteria in its operations. The company's goal is to achieve recognition as a producer of high-quality halal products in the market. To achieve this goal, it is essential to measure the performance of the supply chain management using a reliable and structured method.

The Importance of Supply Chain Performance Measurement

Supply chain performance measurement is a critical aspect of any business, especially in the halal industry. It helps companies to identify areas of improvement, optimize their operations, and increase customer satisfaction. In the halal industry, supply chain performance measurement is even more crucial, as it ensures that the products meet the halal standards and guidelines. The measurement of supply chain performance can be done using various methods, including the Scor (Supply Chain Operation Reference) model and AHP (Analytical Hierarchy Process).

Performance Measurement Process

The performance measurement process is divided into five business core processes, namely:

  1. Plan (planning): Determine the strategies and steps that need to be taken to achieve halal production goals.
  2. Source (source): Conducting the selection and procurement of raw materials in accordance with the halal principle.
  3. Deliver: Handling product distribution to consumers by paying attention to the halal aspects.
  4. Make (Production): The process of making Bika Ambon which must meet halal standards.
  5. Return (return): Handling the product returned, including the process if the product does not meet the halal criteria.

Performance Assessment Method

Assessment is carried out with an assessment system that uses the normalization process and is analyzed using a traffic light system. The results of the study show that the performance value of CV. Bika Ambon Zulaikha reached 74.87, which is included in the "Good" category.

Performance Findings

Of the total 56 indicators assessed, there are 19 Key Performance Indicators (KPI) which are red, which indicates that these aspects need improvement. Some of the KPIs are:

  1. Company commitment to produce halal: illustrate how serious the company is in complying with halal principles.
  2. Implementation of Halal Policy Socialization: Ensuring that all employees understand the halal policy applied.
  3. Training procedures according to SJH: ensure that the training provided is in accordance with halal guarantee standards.
  4. Product Formulation and Production Procedure: It is important to ensure that each production step complies with halal guidelines.
  5. Audit Process: The audit process is essential to ensure that the company's operations meet the halal standards.

In addition, there are 5 yellow KPIs that show areas that still need attention, such as:

  1. Training procedures according to SJH: ensure that the training provided is in accordance with halal guarantee standards.
  2. Product Formulation and Production Procedure: It is important to ensure that each production step complies with halal guidelines.
  3. Audit Process: The audit process is essential to ensure that the company's operations meet the halal standards.
  4. Halal Policy Socialization: Ensuring that all employees understand the halal policy applied.
  5. Company commitment to produce halal: illustrate how serious the company is in complying with halal principles.

Conclusion and Recommendations

Based on the results of this study, it can be concluded that even though CV. Bika Ambon Zulaikha is in the "Good" performance category, there are still many areas that need to be improved. Through a better application of identified KPIs, companies can improve the performance of the supply chain management. By paying attention and increasing the area that is still red, companies can not only strengthen their position in the halal market, but also increase consumer confidence in their products. Continuing training and socialization of halal policies and strengthening the audit process are important steps to achieve higher standards in the halal industry.

Accurate and Structured Performance Measurements

Accurate and structured performance measurements can be the key to success for CV. Bika Ambon Zulaikha to achieve recognition as a producer of high-quality halal products in the market. The Scor model and AHP can be used to measure the performance of the supply chain management, and the results can be used to identify areas of improvement. By implementing the recommendations of this study, CV. Bika Ambon Zulaikha can improve its performance and achieve its goal of becoming a producer of high-quality halal products in the market.

Future Research Directions

This study provides a framework for measuring the performance of supply chain management in the halal industry. Future research can build on this study by exploring other methods for measuring supply chain performance, such as the Balanced Scorecard (BSC) or the Supply Chain Operations Reference (SCOR) model. Additionally, future research can investigate the impact of supply chain performance on customer satisfaction and loyalty in the halal industry.

Limitations of the Study

This study has several limitations. Firstly, the study only focuses on CV. Bika Ambon Zulaikha, and the results may not be generalizable to other companies in the halal industry. Secondly, the study only uses the Scor model and AHP to measure supply chain performance, and other methods may be more suitable for other companies. Finally, the study only investigates the performance of the supply chain management, and other aspects of the company's operations may also be important.

Conclusion

In conclusion, this study provides a framework for measuring the performance of supply chain management in the halal industry. The Scor model and AHP can be used to measure the performance of the supply chain management, and the results can be used to identify areas of improvement. By implementing the recommendations of this study, CV. Bika Ambon Zulaikha can improve its performance and achieve its goal of becoming a producer of high-quality halal products in the market.

Q: What is the importance of supply chain performance measurement in the halal industry?

A: Supply chain performance measurement is crucial in the halal industry as it ensures that products meet halal standards and guidelines. It helps companies to identify areas of improvement, optimize their operations, and increase customer satisfaction.

Q: What are the five business core processes in the performance measurement process?

A: The five business core processes are:

  1. Plan (planning): Determine the strategies and steps that need to be taken to achieve halal production goals.
  2. Source (source): Conducting the selection and procurement of raw materials in accordance with the halal principle.
  3. Deliver: Handling product distribution to consumers by paying attention to the halal aspects.
  4. Make (Production): The process of making Bika Ambon which must meet halal standards.
  5. Return (return): Handling the product returned, including the process if the product does not meet the halal criteria.

Q: What is the assessment method used in this study?

A: The assessment method used in this study is the Scor (Supply Chain Operation Reference) model and AHP (Analytical Hierarchy Process). The results are analyzed using a traffic light system.

Q: What are the Key Performance Indicators (KPIs) that need improvement?

A: There are 19 KPIs that need improvement, including:

  1. Company commitment to produce halal: illustrate how serious the company is in complying with halal principles.
  2. Implementation of Halal Policy Socialization: Ensuring that all employees understand the halal policy applied.
  3. Training procedures according to SJH: ensure that the training provided is in accordance with halal guarantee standards.
  4. Product Formulation and Production Procedure: It is important to ensure that each production step complies with halal guidelines.
  5. Audit Process: The audit process is essential to ensure that the company's operations meet the halal standards.

Q: What are the areas that still need attention?

A: There are 5 yellow KPIs that show areas that still need attention, including:

  1. Training procedures according to SJH: ensure that the training provided is in accordance with halal guarantee standards.
  2. Product Formulation and Production Procedure: It is important to ensure that each production step complies with halal guidelines.
  3. Audit Process: The audit process is essential to ensure that the company's operations meet the halal standards.
  4. Halal Policy Socialization: Ensuring that all employees understand the halal policy applied.
  5. Company commitment to produce halal: illustrate how serious the company is in complying with halal principles.

Q: What are the recommendations for improving supply chain performance?

A: The recommendations for improving supply chain performance include:

  1. Continuing training and socialization of halal policies: Ensuring that all employees understand the halal policy applied.
  2. Strengthening the audit process: The audit process is essential to ensure that the company's operations meet the halal standards.
  3. Improving the company's commitment to produce halal: Illustrate how serious the company is in complying with halal principles.
  4. Enhancing the product formulation and production procedure: It is essential to ensure that each production step complies with halal guidelines.

Q: What are the future research directions?

A: Future research can build on this study by exploring other methods for measuring supply chain performance, such as the Balanced Scorecard (BSC) or the Supply Chain Operations Reference (SCOR) model. Additionally, future research can investigate the impact of supply chain performance on customer satisfaction and loyalty in the halal industry.

Q: What are the limitations of this study?

A: This study has several limitations, including:

  1. Limited scope: The study only focuses on CV. Bika Ambon Zulaikha, and the results may not be generalizable to other companies in the halal industry.
  2. Methodology: The study only uses the Scor model and AHP to measure supply chain performance, and other methods may be more suitable for other companies.
  3. Data collection: The study only collects data from CV. Bika Ambon Zulaikha, and other data sources may be needed to validate the results.

Q: What are the conclusions of this study?

A: This study provides a framework for measuring the performance of supply chain management in the halal industry. The Scor model and AHP can be used to measure the performance of the supply chain management, and the results can be used to identify areas of improvement. By implementing the recommendations of this study, CV. Bika Ambon Zulaikha can improve its performance and achieve its goal of becoming a producer of high-quality halal products in the market.