Exploring the Impact of Resilient Supply Chains on Performance: Sustainability's Mediating Role

This study aims to determine the impact of supply chain resilience on supply chain performance and the mediating effect of sustainability. This study formulates ten hypotheses to be tested. This study measures supply chain resilience from three dimensions: flexibility, supply chain risk management, and recovery capability, and measures sustainability from social, environmental, and economic dimensions. This research uses a quantitative approach. The sample is a member of the Batik SME cooperative included in the creative industry craft sector, with the owner or manager as the respondent. The sampling technique used was purposive sampling with the criteria already paying attention to environmentally friendly supply chains and producing green products. The primary data is collected through distributing questionnaires directly or online through Google Forms. Each statement in the questionnaire is measured using a Likert scale of 6 (1 = strongly disagree to 6 - strongly agree). The data analysis technique used is the Structural Equation Model (SEM) with SmartPLS software. The results of this study indicate that of the ten hypotheses tested, five are supported and significant, and five are not supported. Thus, supply chain resilience has a favorable and substantial impact on supply chain performance. Furthermore, a noteworthy and affirmative correlation exists between supply chain performance and social and environmental sustainability. Moreover, the relationship between supply chain performance and resilience might be mediated by social sustainability. In contrast, the resilience and performance of the supply chain concerning environmental and economic sustainability are not immediately impacted by economic sustainability. The influence of supply chain resilience on supply chain performance cannot be mitigated by environmental or economic sustainability.