11th Annual International Conference on Industrial Engineering and Operations Management

Identification of Critical Success Factor for Sustainable Supply Chain Management Drone Logistics in Indonesia with ISM (Interpretive Structural Modeling) Approach

Nida An Khofiyah, Muhammad Hisjam & Wahyudi Sutopo
Publisher: IEOM Society International
0 Paper Citations
Track: Supply Chain and Logisitcs Competition


Infrastructure Indonesia in building national competitiveness and to support the implementation of the Master Plan for the Acceleration and Expansion of Indonesian Economic Development 2011 – 2025. The main thing is logistics in urban areas, because urban logistics has a function as a link in national networks as well as global networks. The main cause in urban areas is road congestion, resulting in delays, in addition to environmental impacts such as carbon dioxide emissions. To overcome this, this study analyzes a new mode of transportation with new technology, namely drones. A drone is an unmanned aerial vehicle or Unmanned Aerial Vehicle (UAV). This drone technology can be a solution for the logistics system to be efficient. A sustainable supply chain is one that is better at identifying current and future environmental and social impacts and finding ways to reduce them. Environmental and social impacts are important in this industrial 4.0 era, especially for new technologies that will enter the Indonesian market. This research focuses on the objective of identifying the critical success factors (CSF) to implement the sustainability of the application of logistic drones as a mode of delivery in urban areas in Indonesia, to determine the contextual relationship between CSFs. The method used in this study is to use a structural hierarchy model (ISM). The results obtained were that there were 8 levels out of a total of 18 CSFs identified. Level 8, the most important is the global marketing factor, where this factor aims to provide a competitive advantage in the global marketing space by implementing a green supply chain. These results can be a recommendation to the government and business people to focus on the most influential factors for the success of a logistics drone business in Indonesia.

Keywords: Critical Success Factors (CSF), Drone Logistics, Sustainable Supply Chain Management (SSCM), Interpretive Structural Modeling (ISM) Approach

Published in: 11th Annual International Conference on Industrial Engineering and Operations Management, Singapore, Singapore

Publisher: IEOM Society International
Date of Conference: March 7-11, 2021

ISBN: 978-1-7923-6124-1
ISSN/E-ISSN: 2169-8767