Sustainable National Logistics Performance In Indonesia

Abstract

The main problem of logistics in Indonesia is the high cost of logistics which reaches 14.1% of the National GDP and the decline in the Logistics Performance Index from 3.15 to 3.00. The purpose of the study was to determine and analyze the performance of sustainable national logistics in Indonesia, especially in the West and Central Indonesia regions, so that the research location was carried out at four International Hub Ports, namely Belawan Port, Medan, Tanjung Priok Port, Jakarta, Tanjung Perak Port, Surabaya, and Soekarno Hatta Port, Makassar. This study uses a combined method, namely qualitative data analysis through Focus Group Discussion with six competent sources in the field of logistics which were analyzed using the Nudist In Vivo 12 Application and quantitative data analysis through distributing questionnaires to 160 logistics actors respondents in four sample ports and analyzed using SEM with Lisrel 10.2. The results of the study indicate that the management of transportation costs and information technology, logistics costs, infrastructure and Trade Hubs have a positive effect on sustainable logistics performance in Indonesia. The conclusion obtained is that all independent variables affect national logistics performance, information technology as an intervening variable has a greater influence than the direct relationship between transportation costs and national logistics performance. Meanwhile, if the trade hub becomes an intervening variable, it has a smaller influence compared to the direct relationship between infrastructure and national logistics performance and Trade Hub with national logistics performance. The recommendations given include repairing and increasing port infrastructure as a trade hub to improve connectivity of the national logistics backbone and hinterland, utilizing information technology to improve the performance of transportation cost management in order to encourage logistics performance.