Supply Chain Finance Mediates the Effect of Trust and Commitment on Supply Chain Effectiveness

Kartikasari L., Ridho M.A.

Abstract

Supply chain finance aims for building trust, commitment to the timely delivery of goods, negotiation about terms of payment, sharing information about customer needs, and supply-related matters. It creates a money-related win-win situation for buyers, suppliers, and financial institutions. This research examines the relationship between trust, relationship commitment, supply chain finance, and supply chain effectiveness for small and medium manufacturing enterprises (MSMEs). Supply chain finance is also essential for MSMEs to maintain business operations smoothly. The target sample was owners of small and medium manufacturing enterprises (MSMEs) in Semarang, Demak, and Kendal city, Indonesia. This research is expected to contribute to identifying supply chain finance adoption and how MSMEs can implement supply chain finance to increase company liquidity in achieving supply chain effectiveness.

Journal
Lecture Notes on Data Engineering and Communications Technologies
Page Range
163-170
Publication date
2023
Total citations
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