Efficiency Analysis of Indonesian Coffee Supply Chain Network Using A New DEA Model Approach: Literature Review

A position of Indonesia as the world’s biggest producer of robusta coffee has declined. Currently, Vietnam is the main producer of robusta coffee in the world. A decline in Indonesia's position is due to saturation of the Indonesian coffee export destination countries which results in declining demand for export of Indonesian coffee. The quantity of Indonesian robusta coffee supplied to the international market depends on secured supply of domestic raw materials and the efficiency of supply chain network. Efforts to ensure the domestic coffee supply is done through efficiency analysis on each member of the supply chain that forms the supply chain network. Efficiency measurement in supply chain network is performed using the New DEA Model developed by Liang et al. The measurement technique of DEA is gradually the efficiency of the production unit (product flow) of each actor (seller and buyer) on the supply chain. The efficiency level of each actor can determine the efficiency of the supply chain network. This is because of the relationship of input and output between seller and buyer so that the final output of supply chain network will produce. New DEA model is more appropriate to use in supply efficiency mechanism that can be cooperative.