Purpose – The purpose of this study is to investigate the relationship between technology and efficiency and
effectiveness in the performance of family business halal supply chains.
Design/methodology/approach – Methodology used in this research is a quantitative method. The
research’s type is explanatory research with multivariate data analysis methods using partial least square
(PLS). Samples used in this research are 100 family halal food businesses in Indonesia.
Findings – The result shows that there is a positive and significant relationship between each technology and
effectiveness. Technology can be used to ensure that all supply chain processes follow Sharia procedures
effectively in the family halal food business, but on other hand the technology does not show a positive effect on
family halal food business efficiency.
Research limitations/implications – Further research can be done by applying the model provided in this
study for other industries. And investigating the model in a big company to prove the technology may also
show a positive relationship to the efficiency.
Practical implications – The contribution of this research is that the family halal food business can
guarantee that technology they use can improve the effectiveness of their supply chain.
Social implications – The improvement of halal supply chain effectiveness through the technology can
improve the product’s quality and fulfill the customers’ requirements. Also, the family business can assure the
society about their halal product.
Originality/value – This research proves that the family business can improve their halal supply chain
effectiveness through technology, although lowering their efficiency, which is empirically proven.
Keywords Effective, Efficient, Halal supply chain, Family business, Supply chain performance, Technology
Paper type Research paper