The Effect of Traceability System and Managerial Initiative on Indonesian Food Cold Chain Performance: A Covid-19 Pandemic Perspective

Glob J Flex Syst Manag. 2021;22(4):331-356. doi: 10.1007/s40171-021-00281-x. Epub 2021 Aug 3.

Abstract

This study aims to determine the effect of managerial initiatives on the adoption of traceability systems on food cold chain performance during the Covid-19 pandemic. Managerial initiatives are allegedly needed to improve the company's performance because it improves the traceability system in the supply chain. In addition, the effect of the traceability system adoption on the Indonesian food cold-chain performance during the Covid-19 pandemic is also discussed in this study. This study uses a quantitative approach and purposive sampling with a questionnaire research instrument obtained 250 statements of Indonesian consumers and retail employees. Partial least squares for structural equation modeling (PLS-SEM) were used to analyze latent variables' relationships. This study indicates that the traceability system has a significant effect on the performance of the food cold-chain during the Covid-19 pandemic. In addition, the adoption of electronic data exchange (EDI), radio frequency identification (RFID), and blockchain significantly impacted traceability systems during the Covid-19 pandemic. The managerial application of the initiative showed a positive and significant impact on the performance of the food cold-chain during the Covid-19 pandemic. However, the managerial initiative is not able to moderate the adoption of the traceability system.

Keywords: Blockchain; EDI; Food cold chain performance during Covid-19; Managerial initiative; RFID; Traceability system.