Effective Operational Management for Traditional Clothes Industries in Special Region of Yogyakarta Province

The study aims to analyse the effects of Financial Capital, labor, raw materials, technology, competition from other companies, employee loyalty on the production of Javanesse production traditional clothing industry in the Special Region od Yofgyakarta Province. Quantitative research methods with 400 respondents have been collected to answer the research aim. The sampling design use simple random sampling which spread into 5 regencies and city. Questionnaire has been utilize with 4 likert scale. The dependent variable is production and independent variables are Financial Capital, human capital, input, technology, competitors and loyality. Most of the traditional clothes industries has between 11-20 years of business (38.5%) and consists of type for traditional industries such as batik (85.8%); blangkon/traditional hat (11.5%); kebaya (2.0%) and surjan (0.8%). It has been validated (Rmes >0.098) and reliable (Cronbach alpha=0,806).The analysis technique use ordinary least squared with adj. R2 is 51.6%. Based on the analysis, Financial Capital (2.891); human capital (2.155); input (4.272); technology (5.258); competitors (-3.485); and loyality (11.356).