Claim Missing Document
Check
Articles

Found 3 Documents
Search

Enhancing Operations for Sustainability in Indonesian SMEs through Climate Change Awareness and Business Orientation Hafiz Rahman; Sri Oktavia; Niyanta Shetye; Winny Leocade Sedjiro Azonhoumon
Jurnal Optimasi Sistem Industri Vol. 23 No. 1 (2024): Published in July 2024
Publisher : The Industrial Engineering Department of Engineering Faculty at Universitas Andalas

Show Abstract | Download Original | Original Source | Check in Google Scholar | DOI: 10.25077/josi.v23.n1.p109-119.2024

Abstract

This study aims to identify the level of climate change awareness among small-medium scale entrepreneurs (SMEs) and to investigate its impact on future business orientation, with individual self-perception acting as a mediating variable. Addressing a significant gap in the literature, this research explores the reciprocal influence between SMEs and climate change—an area previously underexplored. Conducted in West Sumatra, Indonesia, this study employs a quantitative causal analysis approach using Structural Equation Modelling-Partial Least Squares (SEM-PLS) for robust analysis. The findings indicate that while awareness and self-perception of climate change among SMEs are low, they significantly influence potential changes in business orientation. The study reveals that although many SMEs possess a high level of educational attainment, this does not necessarily translate into heightened awareness or self-perception regarding climate change. This disconnect underscores the critical role of tailored educational initiatives and support systems to bridge the gap between knowledge and action. Additionally, the study finds that SMEs often prioritize immediate financial stability over long-term environmental sustainability, driven by the necessity to meet daily operational demands. These results underscore the urgent need for pre-emptive government policies to guide SMEs toward sustainable practices. Effective interventions should include financial incentives, technical assistance, and educational programs designed to enhance climate change awareness and capabilities among SMEs. Furthermore, this study contributes to the field of industrial engineering by identifying opportunities to optimize SME operations. By integrating environmental sustainability into business strategies, SMEs can enhance their resilience and competitiveness while contributing to broader environmental goals. This research advances the understanding of the dynamic interplay between SMEs and climate change, providing a foundation for future studies aimed at promoting sustainable industrial practices.
Enhancing Operations for Sustainability in Indonesian SMEs through Climate Change Awareness and Business Orientation Hafiz Rahman; Sri Oktavia; Niyanta Shetye; Winny Leocade Sedjiro Azonhoumon
Jurnal Optimasi Sistem Industri Vol. 23 No. 1 (2024): Published in July 2024
Publisher : The Industrial Engineering Department of Engineering Faculty at Universitas Andalas

Show Abstract | Download Original | Original Source | Check in Google Scholar | Full PDF (1122.154 KB) | DOI: 10.25077/josi.v23.n1.p109-119.2024

Abstract

This study aims to identify the level of climate change awareness among small-medium scale entrepreneurs (SMEs) and to investigate its impact on future business orientation, with individual self-perception acting as a mediating variable. Addressing a significant gap in the literature, this research explores the reciprocal influence between SMEs and climate change—an area previously underexplored. Conducted in West Sumatra, Indonesia, this study employs a quantitative causal analysis approach using Structural Equation Modelling-Partial Least Squares (SEM-PLS) for robust analysis. The findings indicate that while awareness and self-perception of climate change among SMEs are low, they significantly influence potential changes in business orientation. The study reveals that although many SMEs possess a high level of educational attainment, this does not necessarily translate into heightened awareness or self-perception regarding climate change. This disconnect underscores the critical role of tailored educational initiatives and support systems to bridge the gap between knowledge and action. Additionally, the study finds that SMEs often prioritize immediate financial stability over long-term environmental sustainability, driven by the necessity to meet daily operational demands. These results underscore the urgent need for pre-emptive government policies to guide SMEs toward sustainable practices. Effective interventions should include financial incentives, technical assistance, and educational programs designed to enhance climate change awareness and capabilities among SMEs. Furthermore, this study contributes to the field of industrial engineering by identifying opportunities to optimize SME operations. By integrating environmental sustainability into business strategies, SMEs can enhance their resilience and competitiveness while contributing to broader environmental goals. This research advances the understanding of the dynamic interplay between SMEs and climate change, providing a foundation for future studies aimed at promoting sustainable industrial practices.
Consumer Insights for Optimization of Industrial Systems: The Case of Consumers’ Greenwashing Perception in Adopting Single-Use Plastics Products in Padang City Hafiz Rahman; Nurul Marliza Putri Hesti; Donard Games; Niyanta Shetye
Jurnal Optimasi Sistem Industri Vol. 24 No. 2 (2025): Published in December 2025
Publisher : The Industrial Engineering Department of Engineering Faculty at Universitas Andalas

Show Abstract | Download Original | Original Source | Check in Google Scholar | Full PDF (309.873 KB) | DOI: 10.25077/josi.v24.n2.p198-212.2025

Abstract

This study explicates the impact of consumer perceptions of greenwashing on the purchase intentions of single-use plastic products, specifically bottled still water and soft drinks, within the context of growing sustainability concerns. The objective is to understand how these perceptions influence consumer decisions and how the insights can inform the optimization of industrial practices related to packaging and marketing. Using a quantitative explanatory design, data was collected from no less than one hundred and sixty-eight respondents in Padang City through direct and online surveys. The sampling method is the Non-Probability Sampling method with a Purposive Sampling approach and it is directed to individuals who meet the following criteria: (1) minimum age of 17 years old; (2) domicile in Padang City; and (3) individuals or households who know bottled water and soft drinks brand. The data analysis, conducted via Structural Equation Modelling (SEM) using SmartPLS, reveals that negative perceptions of greenwashing significantly reduce purchase intentions. However, positive word-of-mouth can mitigate these effects, leading to a higher likelihood of purchase. The findings highlight the critical role of environmental awareness in shaping consumer behavior and suggest that companies should prioritize authentic sustainability practices which could be in terms of third-party certification to maintain consumer trust and optimize their product strategies. Companies are expected to be able to do business responsibly, by paying attention to the end-to-end production process that has minimal waste and minimal impact on the environment, through the development of more environmentally friendly products and optimization of waste management programs. Third-party certifications may be useful to support this effort.