Abstract—Many studies have focused on the direct impact of organizational culture, business process re-engineering, manufacturing strategy on the firm performance. This study examined the impact of organizational culture and manufacturing strategy on organization performance through business process re-engineering. Data were collected using questionnaires distributed to 111 respondents representing 37 cosmetics manufacturing firms located in the region of East Java, Indonesia. Statistical analysis was performed using partial least square (PLS) software. The result concluded that there was a direct influence on organizational culture, manufacturing strategy on firm performance. The mediating role of business process re-engineering on firm performance exists and significant. Manufacturing strategy gives greater impact on firm performance than organizational culture does.

Index Terms—Business process re-engineering, firm performance, manufacturing strategy, organizational culture.

The authors are with Petra Christian University, Jl. Siwalankerto 120-131, Surabaya, Indonesia (email: hotlan.siagian@petra.ac.id).

Cite: Hotlan Siagian, Hatane Semuel, William Gondo Widjaja, "The Effect of Organizational Culture and Manufacturing Strategy on Firm Performance through Business Process Re-engineering," International Journal of e-Education, e-Business, e-Management and e-Learning vol. 7, no. 3, pp. 191-201, 2017.