CONNECTING GREEN SUPPLY CHAIN MANAGEMENT PRACTICES AND FIRM ENVIRONMENTAL PERFORMANCE THROUGH GREEN INNOVATION: A CASE STUDY OF THE MANUFACTURING SECTOR IN GHANA
Keywords:
Green Supply Chain Management Practices, Green Innovation, Firm Environmental Performance, Manufacturing SectorAbstract
The manufacturing sector plays a pivotal role in Ghana's economic development, contributing significantly to the Gross Domestic Product and job creation. However, it faces environmental challenges, particularly in terms of pollution and greenhouse gas emissions. This study explores the impact of Green Supply Chain Management Practices (GSCMP) and Green Innovation (GI) on firm environmental performance in Ghana's manufacturing sector. The research aims to fill existing gaps in understanding the mechanisms through which GSCMP influences GI and, subsequently, how this interplay contributes to improved firm environmental performance. The results, based on data collected from Kantanka Automobile Company Limited, support the hypotheses, indicating that GSCMP positively influences firm environmental performance and GI, while GI positively impacts firm environmental performance. Furthermore, GI mediates the relationship between GSCMP and firm environmental performance. These findings provide actionable insights for manufacturing companies in Ghana, emphasizing the importance of integrating green practices into the supply chain for improved environmental performance and sustainability.
References
Abu Seman, N. A., Govindan, K., Mardani, A., Zakuan, N., Mat Saman, M. Z., Hooker, R. E., & Ozkul, S. (2019). The mediating effect of green innovation on the relationship between green supply chain management and environmental performance. Journal of Cleaner Production, 229, 115-127. doi:https://doi.org/10.1016/j.jclepro.2019.03.211
Barney, J. B. (2001). Resource-based theories of competitive advantage: A ten-year retrospective on the resource-based view. Journal of Management, 27(6), 643-650. doi:10.1177/014920630102700602
Bonsu, M. O.-A., Guo, Y., & Zhu, X. (2023). Does green innovation mediate corporate social responsibility and environmental performance? Empirical evidence from emerging markets. Journal of Applied Accounting Research, ahead-of-print(ahead-of-print). doi:10.1108/JAAR-10-2022-0271
Boso, R. K., Adusei, E., & Demah, E. (2023). How does green intellectual capital affect environmental performance? Evidence from manufacturing firms in Ghana. Social Responsibility Journal, 19(7), 1178-1195. doi:10.1108/SRJ-12-2021-0503
Bour, K. B., Asafo, A. J., & Kwarteng, B. O. (2019). Study on the effects of sustainability practices on the growth of manufacturing companies in urban Ghana. Heliyon, 5(6). doi:10.1016/j.heliyon.2019.e01903
García Alcaraz, J. L., Díaz Reza, J. R., Arredondo Soto, K. C., Hernández Escobedo, G., Happonen, A., Puig I Vidal, R., & Jiménez Macías, E. (2022). Effect of Green Supply Chain Management Practices on Environmental Performance: Case of Mexican Manufacturing Companies. Mathematics, 10(11). doi:10.3390/math10111877
Hair, J. F., Risher, J. J., Sarstedt, M., & Ringle, C. M. (2019). When to use and how to report the results of PLS-SEM. European Business Review, 31(1), 2-24. doi:10.1108/EBR-11-2018-0203
He, K., Chen, W., & Zhang, L. (2021). Senior management's academic experience and corporate green innovation. Technological Forecasting and Social Change, 166, 120664. doi:https://doi.org/10.1016/j.techfore.2021.120664
Imran, M., & Jingzu, G. (2022). Green organizational culture, organizational performance, green innovation, environmental performance: A mediation-moderation model. Journal of Asia-Pacific Business, 23(2), 161-182.
Kline, R. B. (2015). Principles and practice of structural equation modeling (4th ed.): Guilford publications.
Mawusi, S., Shrestha, P., Gao, T., Liu, M., Li, Z., Jiao, M., . . . Liu, G. (2023). A laboratory assessment of how biomass pellets could reduce indoor air pollution, mitigate climate change and benefit health compared to other solid fuels used in Ghana. Energy for Sustainable Development, 72, 127-138. doi:https://doi.org/10.1016/j.esd.2022.12.011
Namagembe, S., Ryan, S., & Sridharan, R. (2019). Green supply chain practice adoption and firm performance: manufacturing SMEs in Uganda. Management of Environmental Quality: An International Journal, 30(1), 5-35. doi:10.1108/MEQ-10-2017-0119
Qalati, S. A., Barbosa, B., & Ibrahim, B. (2023). Factors influencing employees’ eco-friendly innovation capabilities and behavior: the role of green culture and employees’ motivations. Environment, Development and Sustainability. doi:10.1007/s10668-023-03982-8
Qalati, S. A., Barbosa, B., & Iqbal, S. (2023). The effect of firms’ environmentally sustainable practices on economic performance. Economic Research-Ekonomska Istraživanja, 36(3), 2199822. doi:10.1080/1331677X.2023.2199822
Rehman, S. U., Kraus, S., Shah, S. A., Khanin, D., & Mahto, R. V. (2021). Analyzing the relationship between green innovation and environmental performance in large manufacturing firms. Technological Forecasting and Social Change, 163, 120481. doi:https://doi.org/10.1016/j.techfore.2020.120481
Sardana, D., Gupta, N., Kumar, V., & Terziovski, M. (2020). CSR ‘sustainability’ practices and firm performance in an emerging economy. Journal of Cleaner Production, 258, 120766. doi:https://doi.org/10.1016/j.jclepro.2020.120766
Sasu, D. D. (2023). Contribution of the manufacturing sector to GDP in Ghana from 1st quarter 2019 to 2nd quarter 2021 Retrieved from https://www.statista.com/statistics/1239532/contribution-of-manufacturing-to-gdp-in-ghana/
Sharma, V. K., Chandna, P., & Bhardwaj, A. (2017). Green supply chain management related performance indicators in agro industry: A review. Journal of Cleaner Production, 141, 1194-1208. doi:https://doi.org/10.1016/j.jclepro.2016.09.103
Singh, S. K., Giudice, M. D., Chierici, R., & Graziano, D. (2020). Green innovation and environmental performance: The role of green transformational leadership and green human resource management. Technological Forecasting and Social Change, 150, 119762. doi:https://doi.org/10.1016/j.techfore.2019.119762
Wong, C. Y., Wong, C. W. Y., & Boon-itt, S. (2020). Effects of green supply chain integration and green innovation on environmental and cost performance. International Journal of Production Research, 58(15), 4589-4609. doi:10.1080/00207543.2020.1756510
Xu, X., Imran, M., Ayaz, M., & Lohana, S. (2022). The mediating role of green technology innovation with corporate social responsibility, firm financial, and environmental performance: The case of chinese manufacturing industries. Sustainability, 14(24), 16951.
Downloads
Published
Issue
Section
License
Copyright (c) 2023 Bright Boadu, Xinying Jiang, Eddiebright Joseph Buadu, Stephen Addai-Dansoh, Baaba Boadziwa Sackey (Author)
This work is licensed under a Creative Commons Attribution-NonCommercial 4.0 International License.
