The aim of this research is to know the effect of the implementation of teaching factory learning model and industry collaboration on the learning and work preparedness of vocational high school students in east java province. This research used mixed method. Instrument to collect the data use questionnaires, observation, and deep interview. The Cronbachâ€™s alpha reliability coeficient total for the questionnaires is 0.71 and factor loading of .30, The population of this research is vocational high school in east java where teaching factory learning model was implemented. This research used random sampling; the samples were from 8 vocational high schools (public and private) in 6 cities with 65 productive teachers as respondents. Data analysis was carried out using descriptive statistic and SEM (Structural Equation Modeling) Smart Partial Least Square PLS was used to evaluate validity and find out the relations of every research variable. Descriptive analysis result showed teaching factory relatively got high average value in indicator of facilities, infrastructure, and management, while the indicator of soft skill and learning implementation got low average value. Collaboration among school and industry is still low if compared with description value of teaching factory, learning outcome, and student work preparedness with 2,96. SEM PLS analysis result found collaboration with industry has path coefficient 0.445 with contribution to teaching factory 0,198. Path coefficient to learning outcomes from industry collaboration, teaching factory, and joint contribution are 0.704, 0.274 and 0.742 respectively. Path coefficient for work preparedness from learning outcomes is 0.685 and the contribution value is 0.469. Based on the result, the key role to create students who are highly work prepared came from the capability of school to collaborate with industry. This is because learning outcome will be optimized if the school successfully creates good collaboration with industries. The school capability to make industry collaboration plan will influence the factory learning model implemented by the school.
Keywords: teaching factory, industry collaboration, learning outcome, work preparedness