The Influence of External Environment on Operation Strategy and Corporate Performance in Indonesian Garment Industry

抄録

This study examined the phenomenon of production and competition of the garment Industry in Indonesia. Indonesian garment products have not been competitive in the international market. The quality of the resulting garment products have not been able to comply with the international quality standards. In addition, Indonesia has not been included in the Trans-Pacific Partnership community that provides reduction of import duties for its member. This research extends the work performed by other researchers by performing the study in a diferent environment not studied before and by expanding the environment dimension. The study used the management approach and integrating the strategic management, operation management, human resource management and marketing management. The purpose of this study is to describe and analyse 1) The external environment, operation strategy and corporate performance of Indonesian garment industry; 2) The influence of external environment towards operation strategy; and 3) The influence of operation strategy towards the corporate performance. The types of this research are descriptive and verificative while the methods used both descriptive and explanatory surveys. Using the random sampling technique from collection data, the sample size were 71 companies with 395 respondences which consist 71 operation managers, 71 agents and 253 employees. The using interview as a technique from collection data with three questionaire models. The data collected at February until July 2013, using the descriptive analysis and path analysis. The results show 1) The external environment (supplier, technology, and consumer), operation strategy and company performance generally good enough; 2) The external environment have significant influence simultaneously and partially towards operation strategy, the consumer influence on the operating strategy is greater than the influence of technology and suppliers; 3) The operation strategy have a significant influence towards corporate performance and the operating strategy has a huge influence on company performance and there is any other influence.