THE CONFIRMATORY FACTOR ANALYSIS OF REVERSE LOGISTICS MANAGEMENT OF SME IN THE MANUFACTURING SECTOR
Keywords:
Reverse Logistics Management, Remanufacturing, Waste DisposalAbstract
Objectives of this research were to study the confirmatory factor analysis of reverse logistics management of SME in the manufacturing sector. The research was conducted with mixed methods between the qualitative research by documentary research for literature review on reverse logistics management and quantitative research with a questionnaire used to collect data from 420 SME in the electronics manufacturing sector for confirmatory factor analysis. Findings indicated that reverse logistics management (RLM) had essential to create business sustainability. It focused on the high logistics and operation efficiencies, consisted of 3 dimensions, such as return policy and procedure, remanufacturing or refurbishment, and waste disposal. Also, the result of confirmatory factor analysis indicated that the Chi-Square = .190, Chi-square/df = 190, df = 1, p-value = .663, GFI = 1.000, CFI = 1.000, RMR = .003, RMSEA = .000, SRMR = .0042 that meet the criteria for consideration. RLM can be applied to create a competitive advantage in a sustainability perspective to reduce recourse and protect the company with RLM operation from the non-tariff barrier, such as environmental concern, cost reduction, Image and credibility.
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