THE RELATIONSHIP BETWEEN TURNOVER INTENTION AND EMPLOYEE WORK PRODUCTIVITY ON SUPPLY CHAIN MANAGEMENT EFFECTIVENESS (A Study on Manufacturing Companies in the Medan Industrial Area)
Main Article Content
Siswa Pratama
Akhmad Taufik
Taha Mohd Omar
This study aims to analyze the direct and indirect influence of Turnover Intention and Employee Work Productivity on Supply Chain Management (SCM) Effectiveness. SCM effectiveness is measured through the dimensions of reliability, responsiveness, flexibility, cost, and asset management. The population in this study consists of operational and managerial employees in the logistics/distribution sector. A sample of 150 respondents was taken using purposive sampling technique. Data were analyzed using Structural Equation Modeling (SEM) with the assistance of SmartPLS software. The results show that: (1) Turnover Intention has a negative and significant relationship with Work Productivity; (2) Turnover Intention has a negative and significant relationship with SCM Effectiveness; (3) Work Productivity has a positive and significant relationship with SCM Effectiveness; and (4) Work Productivity partially mediates the relationship between Turnover Intention and SCM Effectiveness. These findings imply that management needs to implement employee retention and productivity enhancement strategies to maintain optimal supply chain performance.
Bittici, U. S., Ackermann, F., Ates, A., Davies, J., Garengo, P., Gibb, S., & Firat, S. U. (2011). Managerial processes: Business process that sustain performance. International Journal of Operations & Production Management, 31(8), 869-897.
Christopher, M. (2016). Logistics & supply chain management (5th ed.). Pearson.
Dharma Raj Dhakal, et al. (2024). Employee Turnover Intention in a Service Industry: A Systematic Literature Review.
Green, K. W., Zelbst, P. J., Meacham, J., & Bhadauria, V. S. (2014). Green supply chain management practices: Impact on performance. Supply Chain Management: An International Journal, 19(1), 68-84.
Huo, B., Zhao, X., & Zhou, H. (2015). The effects of competitive environment on supply chain information sharing and performance: An empirical study in China. Production and Operations Management, 23(4), 552-569.
Irawan, Y., Bangsawan, S., & Mahrinasari, M. S. (2025). Employee Turnover Intention and Supply Chain Management for Value Creation in Indonesian Banks. International Journal of Supply Chain Management.
Mobley, W. H., Horner, S. O., & Hollingsworth, A. T. (1978). An evaluation of precursors of hospital employee turnover. Journal of Applied Psychology, 63(4), 408-414.
Rahman, H. M., & Raju, V. (2020). Employee Turnover Intention through HRM Practices: A Literature Review. IRJMS.
