An integrated performance assessment method for SMEs fruit processing sustainability in Indonesia

Abstract

Many countries are experiencing rapid growth in the small and medium-sized fruit processing sector. This significantly contributes to the Gross Domestic Product (GDP), particularly in developing countries. The objective of this study is to employ the Sustainability Performance Assessment (SPA) model in the context of Small and Medium-Sized Enterprises (SMEs) through the integration of the Fuzzy Analytical Hierarchy Process (FAHP) and the sustainability index formula. This study examines SMEs in Indonesia that produce fruit chips. Based on the findings of this research, the most important aspects of sustainability are economic, followed by social, technological and environmental. Besides that, it was discovered that the performance of several fruit chip SMEs in Indonesia scored low. Economic performance is considered less (37%: lack of sustainability), while it is poor (not sustainable) in social, technological and environmental aspects, with respective values of (24.38%), (15.09%) and (20.89%). In addition to the presentation of the sustainability performance index, a set of strategic recommendations were formulated to enhance the sustainability performance of SMEs in accordance with their respective sustainability index status. The strategy formulation is classified based on each indicator in the sustainability aspect.

Keywords

• Fruit chips SMEs
• Fuzzy-AHP
• sustainability index
• sustainability performance assessment
• technology aspect
• three bottom line