Resilient and Governed: Enhancing Firm Performance in the Traditional Weaving SMEs Supply Chain – An Empirical Investigation

Author(s):

  • Moh Ramdhan Arif Kaluku (Department of Informatics Engineering, Gorontalo State University, Gorontalo, Indonesia)
  • Sumiati Sumiati (Department of Management Science, Faculty of Economics and Business, Brawijaya University, Malang, Indonesia)
  • Ainur Rofiq (Department of Management Science, Faculty of Economics and Business, Brawijaya University, Malang, Indonesia)
  • Djumilah Hadiwidjojo (Department of Management Science, Faculty of Economics and Business, Brawijaya University, Malang, Indonesia)
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Abstract:
Traditional weaving SMEs in Gorontalo province, Indonesia, known for producing Karawo textiles, play an important role in preserving cultural heritage but face persistent supply chain challenges, including fragmented collaborations, limited market access, and poor inventory coordination. These constraints hinder their ability to achieve sustainable firm performance, especially under conditions of uncertainty. Addressing these issues requires not only operational improvements but also the development of resilient and well governed supply chains. This study is to evaluate, under consideration the mediating function of supply chain governance (SCG), how supply chain resilience (SCR) influences firm performance (FP) in Karawo SMEs. Based on the theory of constraint (TOC), this paper proposes a theoretical framework to investigate, using supply chain resilience, financial and non-financial performance. Using Partial Least Squares Structural Equation Modeling (PLS-SEM), data gathered from 195 traditional weaving SMEs in Gorontalo province, Indonesia is evaluated in order to evaluate theoretical assumptions. According to the results, SCR does not immediately increase FP by means of agility, integration, and SCRE. Moreover, SCG plays a mediator in the link between SCR and FP. By means of supply chain governance, this study enables SMEs to raise their performance. This paper develops a theoretical framework connecting agility, integration, and SCRE with resilience as its basis, therefore exploring past research in the subject of SCM. Based on TOC, the work clarifies how agility, integration, and SCRE affect SCG. Second, SCG mediates the effect of SCR on FP by operationalizing resilience capabilities into coordinated, performance-enhancing governance practices.
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@article{mohramdhanarifkaluku-2026-1717,
  title={Resilient and Governed: Enhancing Firm Performance in the Traditional Weaving SMEs Supply Chain – An Empirical Investigation},
  author={Moh Ramdhan Arif  Kaluku and Sumiati  Sumiati and Ainur  Rofiq and Djumilah  Hadiwidjojo},
  journal={Operations and Supply Chain Management: An International Journal},
  year={2026},
  volume={19},
  number={1},
  pages={78--92},
  doi={10.31387/oscm0640508}
}
Moh Ramdhan Arif  Kaluku, Sumiati  Sumiati, Ainur  Rofiq, Djumilah  Hadiwidjojo (2026). Resilient and Governed: Enhancing Firm Performance in the Traditional Weaving SMEs Supply Chain – An Empirical Investigation. Operations and Supply Chain Management: An International Journal, 19(1), 78-92. https://doi.org/10.31387/oscm0640508