Investigating Supply Chain Management Implementation Challenges in Highway Infra-structure: Evidence from the Sigli–Banda Aceh Toll Road

Abstract

The construction of the Sigli–Banda Aceh Toll Road requires a reliable supply chain management system due to its influence on project cost, quality, schedule, and the presence of significant operational and institutional challenges. This study aims to identify and rank the key challenges associated with implementing supply chain management in the project. A quantitative, questionnaire-based approach was employed, utilizing proportionate stratified random sampling among project stakeholders, which resulted in 49 respondents. The data were analyzed using descriptive statistics, Kendall’s coefficient of concordance, and Spearman's rank correlation to assess agreement and relationships among stakeholder groups. The findings indicate that, of the 56 indicators measured, 23 were identified as major challenges, including shortages of skilled labor, limited workforce readiness, restricted quarry availability, and constrained capacity of material processing facilities such as batching plants, crushers, and asphalt mixing plants, as well as uncertainties related to fluctuating material prices. The statistical analysis reveals a high level of agreement and strong rank correlation among the owner, contractors, and supervisory consultants. In conclusion, the results support prioritizing interventions aimed at enhancing workforce competency, developing local suppliers, and increasing the capacity of material production facilities to strengthen the project’s supply chain resilience.