Improving Performance through TQM and SCM with Human Resources Competence as mediation variable on Banana’s Plantation Company

Abstract

Many research results and theories say that Total Quality Management (TQM) and Supply Chain Management (SCM) are the main strategies for all small, medium and large businesses. The fresh fruit business prioritizes fruit quality to get customer satisfaction. Besides the fruits’ freshness, for the sale of Cavendish bananas, it requires a smooth appearance of the fruit to attract the attention of consumers. The purpose of this study was to see the impact of the implementation of TQM and SCM and whether the impact was also influenced by HR competencies. This research was conducted at one of the banana plantation companies in Indonesia. The research method used is quantitative with PLS as a statistical tool. The results showed that there was a positive and significant influence between TQM on company performance, SCM on company performance. In addition, it is also proven that HR competencies affect the success of TQM and SCM implementation. TQM in the banana plantation industry focuses on increasing the company's competitiveness by involving all employees' efforts to increase competence in all fields. A well-managed supply chain can produce cheap, quality, and timely products so that the target market can be met and generate profits for the company.