This study explores how e-commerce adoption influences non-financial performance in Indonesian SMEs, focusing on the roles of digitalization and operational efficiency as mediators in this relationship. Using a quantitative approach, data was collected through electronic surveys distributed to small and medium-sized businesses in Indonesia’s apparel and textile industry, primarily within Jakarta. The analysis was conducted using Smart-PLS 4.0, evaluating both outer and inner models. For the outer model, reliability and validity were assessed, while the inner model underwent tests for goodness of fit, predictive relevance, p-values, t-statistics, R-square, and checks for common method bias. Structural equation modeling was applied to understand the connections between key variables outlined in the theoretical framework. Findings suggest that e- commerce adoption positively affects non-financial performance, with business digitalization and operational efficiency strengthening this impact. This research offers practical insights for Indonesian SMEs, highlighting how adopting digital tools and improving efficiency can drive better performance in today’s digital economy.