Share:


The moderating role of organizational support on the relationship between green supply chain practices, governance and sustainable economic performance: evidence from China

    YunQian Zhang Affiliation

Abstract

Recently, sustainable economic performance (SEP) has been the foremost requirement due to uncertainty of the economy and environment. This issue needs best practices and governance and also needs researchers’ focus. Thereby, the paper aims to assess green supply chain (SC) practices, green SC governance and their role in the achievement of SEP in the manufacturing sector of China. The paper also attempts to explore the moderating effect of organizational support in proposed framework. PLS-SEM model was employed to test model’s reliability and validity. The very same method has applied to test the linkage among outlined constructs. Obtained results confirms the moderating impact of organizational support among traditional governance, relational governance and the achievement of SEP in the manufacturing industry in China. This article provides guidelines to the regulators in developing policies related to the achievement of SEP using green SC practices and governance.

Keyword : green purchases, internal environmental management, green supply chain governance, traditional governance, relational governance, sustainable economic performance

How to Cite
Zhang, Y. (2024). The moderating role of organizational support on the relationship between green supply chain practices, governance and sustainable economic performance: evidence from China. Technological and Economic Development of Economy, 30(1), 238–260. https://doi.org/10.3846/tede.2024.20138
Published in Issue
Feb 23, 2024
Abstract Views
498
PDF Downloads
434
Creative Commons License

This work is licensed under a Creative Commons Attribution 4.0 International License.

References

Abdel-Baset, M., Chang, V., & Gamal, A. (2019). Evaluation of the green supply chain management practices: A novel neutrosophic approach. Computers in Industry, 108, 210–220. https://doi.org/10.1016/j.compind.2019.02.013

Adebayo, T. S., Awosusi, A. A., Kirikkaleli, D., Akinsola, G. D., & Mwamba, M. N. (2021). Can CO2 emissions and energy consumption determine the economic performance of South Korea? A time series analysis. Environmental Science and Pollution Research, 28(29), 38969–38984. https://doi.org/10.1007/s11356-021-13498-1

Afum, E., Osei-Ahenkan, V. Y., Agyabeng-Mensah, Y., Owusu, J. A., Kusi, L. Y., & Ankomah, J. (2020). Green manufacturing practices and sustainable performance among Ghanaian manufacturing SMEs: The explanatory link of green supply chain integration. Management of Environmental Quality: An International Journal, 31(6), 1457–1475. https://doi.org/10.1108/MEQ-01-2020-0019

Ahmed, W., Ashraf, M. S., Khan, S. A., Kusi-Sarpong, S., Arhin, F. K., Kusi-Sarpong, H., & Najmi, A. (2020). Analyzing the impact of environmental collaboration among supply chain stakeholders on a firm’s sustainable performance. Operations Management Research, 13(1), 4–21. https://doi.org/10.1007/s12063-020-00152-1

Atkočiūnienė, Z. O., & Siudikienė, D. (2021). Communication management in promoting knowledge and creativity in fostering innovations in the creative organizations. Creativity Studies, 14(2), 549–576. https://doi.org/10.3846/cs.2021.15550

Awan, U., Sroufe, R., & Kraslawski, A. (2019). Creativity enables sustainable development: Supplier engagement as a boundary condition for the positive effect on green innovation. Journal of Cleaner Production, 226, 172–185. https://doi.org/10.1016/j.jclepro.2019.03.308

Babu, A. (2021). Foreign direct investment – domestic investment nexus: Evidence from India. Contemporary Economics, 15(3), 267–276. https://doi.org/10.5709/ce.1897-9254.448

Cankaya, S. Y., & Sezen, B. (2018). Effects of green supply chain management practices on sustainability performance. Journal of Manufacturing Technology Management, 30(1), 98–121. https://doi.org/10.1108/JMTM-03-2018-0099

Cera, G., Khan, K. A., Blahova, A., & Belas Jr, J. (2022). Do owner-manager demographics in SMEs matter for corporate social responsibility?. Equilibrium. Quarterly Journal of Economics and Economic Policy, 17(2), 511–531. https://doi.org/10.24136/eq.2022.018

Dabbous, A., & Tarhini, A. (2021). Does sharing economy promote sustainable economic development and energy efficiency? Evidence from OECD countries. Journal of Innovation & Knowledge, 6(1), 58–68. https://doi.org/10.1016/j.jik.2020.11.001

Dat, N. M., Dai, N. Q., & Ngoc, P. B. (2022). The impact of corporate social responsibilities (CSR), entrepreneurship, and financial factors on the financial performance of the banks in ASEAN countries. Contemporary Economics, 16(2). https://doi.org/10.5709/ce.1897-9254.479

Doroshenko, Y. A., Starikova, M. S., & Riapukhina, V. N. (2021). Models of regional development in Russia: Level of industrialisation and innovative performance. Engineering Economics, 32(3), 247–257. https://doi.org/10.5755/j01.ee.32.3.25897

Fan, J., & Zhou, Y. (2023). Empirical analysis of financing efficiency and constraints effects on the green innovation of green supply chain enterprises: A case study of China. Sustainability, 15(6), Article 5300. https://doi.org/10.3390/su15065300

Feng, M., Yu, W., Wang, X., Wong, C. Y., Xu, M., & Xiao, Z. (2018). Green supply chain management and financial performance: The mediating roles of operational and environmental performance. Business Strategy and the Environment, 27(7), 811–824. https://doi.org/10.1002/bse.2033

Foo, P.-Y., Lee, V.-H., Tan, G. W.-H., & Ooi, K.-B. (2018). A gateway to realising sustainability performance via green supply chain management practices: A PLS–ANN approach. Expert Systems with Applications, 107, 1–14. https://doi.org/10.1016/j.eswa.2018.04.013

Gayan, E. A. (2018). Perceived organizational culture, perceived organizational support and self-efficacy on work engagement among academic staff in Universiti Utara Malaysia. Universiti Utara Malaysia.

Green, K. W., Inman, R. A., Sower, V. E., & Zelbst, P. J. (2019). Impact of JIT, TQM and green supply chain practices on environmental sustainability. Journal of Manufacturing Technology Management, 30(1), 26–47. https://doi.org/10.1108/JMTM-01-2018-0015

Hair, J. F., Gabriel, M., & Patel, V. (2014). AMOS covariance-based structural equation modeling (CB-SEM): Guidelines on its application as a marketing research tool. Brazilian Journal of Marketing, 13(2), 44–55. https://doi.org/10.5585/remark.v13i2.2718

Hair Jr, J. F., Howard, M. C., & Nitzl, C. (2020). Assessing measurement model quality in PLS-SEM using confirmatory composite analysis. Journal of Business Research, 109, 101–110. https://doi.org/10.1016/j.jbusres.2019.11.069

Hong, J., Zheng, R., Deng, H., & Zhou, Y. (2019). Green supply chain collaborative innovation, absorptive capacity and innovation performance: Evidence from China. Journal of Cleaner Production, 241, 1183–1195. https://doi.org/10.1016/j.jclepro.2019.118377

Howard, M., Hopkinson, P., & Miemczyk, J. (2019). The regenerative supply chain: A framework for developing circular economy indicators. International Journal of Production Research, 57(23), 7300–7318. https://doi.org/10.1080/00207543.2018.1524166

Hussain, H. I., Kamarudin, F., Anwar, N. A. M., Sufian, F., Ali, A., & Saudi, M. H. (2022). Social globalisation and efficiency of microfinance institutions nexus: Empirical evidence on financial and social efficiency. Engineering Economics, 33(1), 27–46. https://doi.org/10.5755/j01.ee.33.1.29130

Ilyas, H. N., Zia, K. M., Rehman, S., Ilyas, R., & Sultana, S. (2021). Utilization of shellfish industrial waste for isolation, purification, and characterizations of chitin from crustacean’s sources in Pakistan. Journal of Polymers and the Environment, 29(7), 2337–2348. https://doi.org/10.1007/s10924-020-02037-7

Jabbour, C. J. C., Seuring, S., de Sousa Jabbour, A. B. L., Jugend, D., Fiorini, P. D. C., Latan, H., & Izeppi, W. C. (2020). Stakeholders, innovative business models for the circular economy and sustainable performance of firms in an emerging economy facing institutional voids. Journal of Environmental Management, 264, Article 110416. https://doi.org/10.1016/j.jenvman.2020.110416

Jermsittiparsert, K., Namdej, P., & Somjai, S. (2019). Green supply chain practices and sustainable performance: moderating role of total quality management practices in electronic industry of Thailand. International Journal of Supply Chain Management, 8(3), 33–46.

Jum’a, L., Zimon, D., & Ikram, M. (2021). A relationship between supply chain practices, environmental sustainability and financial performance: Evidence from manufacturing companies in Jordan. Sustainability, 13(4), Article 2152. https://doi.org/10.3390/su13042152

Kazancoglu, Y., Kazancoglu, I., & Sagnak, M. (2018). A new holistic conceptual framework for green supply chain management performance assessment based on circular economy. Journal of Cleaner Production, 195, 1282–1299. https://doi.org/10.1016/j.jclepro.2018.06.015

Khan, S. A. R., Zhang, Y., Kumar, A., Zavadskas, E., & Streimikiene, D. (2020). Measuring the impact of renewable energy, public health expenditure, logistics, and environmental performance on sustainable economic growth. Sustainable Development, 28(4), 833–843. https://doi.org/10.1002/sd.2034

Ključnikov, A., Civelek, M., Fialova, V., & Folvarčná, A. (2021). Organizational, local, and global innovativeness of family-owned SMEs depending on firm-individual level characteristics: Evidence from the Czech Republic. Equilibrium. Quarterly Journal of Economics and Economic Policy, 16(1), 169–184. https://doi.org/10.24136/eq.2021.006

Kouhizadeh, M., & Sarkis, J. (2018). Blockchain practices, potentials, and perspectives in greening supply chains. Sustainability, 10(10), Article 3652. https://doi.org/10.3390/su10103652

Lee, S. M., & Choi, D. (2021). Supply chain governance mechanisms, green supply chain management, and organizational performance. Sustainability, 13(23), Article 13146. https://doi.org/10.3390/su132313146

Li, G., Li, L., Choi, T. M., & Sethi, S. P. (2020). Green supply chain management in Chinese firms: Innovative measures and the moderating role of quick response technology. Journal of Operations Management, 66(7–8), 958–988. https://doi.org/10.1002/joom.1061

Longoni, A., Luzzini, D., & Guerci, M. (2018). Deploying environmental management across functions: the relationship between green human resource management and green supply chain management. Journal of Business Ethics, 151(4), 1081–1095. https://doi.org/10.1007/s10551-016-3228-1

Maditati, D. R., Munim, Z. H., Schramm, H.-J., & Kummer, S. (2018). A review of green supply chain management: From bibliometric analysis to a conceptual framework and future research directions. Resources, Conservation and Recycling, 139, 150–162. https://doi.org/10.1016/j.resconrec.2018.08.004

Mardani, A., Kannan, D., Hooker, R. E., Ozkul, S., Alrasheedi, M., & Tirkolaee, E. B. (2020). Evaluation of green and sustainable supply chain management using structural equation modelling: A systematic review of the state of the art literature and recommendations for future research. Journal of Cleaner Production, 249, 119–139. https://doi.org/10.1016/j.jclepro.2019.119383

Marin-Garcia, A., Gil-Saura, I., & Ruiz-Molina, M. E. (2022). Do innovation and sustainability influence customer satisfaction in retail? A question of gender. Economic Research-Ekonomska Istraživanja, 35(1), 546–563. https://doi.org/10.1080/1331677X.2021.1924217

Massadeh, D. D., Khatib, A. Y. A., & Khanji, I. M. (2021). Analyzing the profitability indicators for islamic banks in Jordan. International Journal of Economics and Finance, 13(1), 67–89.

Micheli, G. J., Cagno, E., Mustillo, G., & Trianni, A. (2020). Green supply chain management drivers, practices and performance: A comprehensive study on the moderators. Journal of Cleaner Production, 259, 121–138. https://doi.org/10.1016/j.jclepro.2020.121024

Mousa, S. K., & Othman, M. (2020). The impact of green human resource management practices on sustainable performance in healthcare organisations: A conceptual framework. Journal of Cleaner Production, 243, Article 118595. https://doi.org/10.1016/j.jclepro.2019.118595

Nabeeh, N. A., Abdel-Basset, M., & Soliman, G. (2021). A model for evaluating green credit rating and its impact on sustainability performance. Journal of Cleaner Production, 280, Article 124299. https://doi.org/10.1016/j.jclepro.2020.124299

Orji, I. J. (2019). Examining barriers to organizational change for sustainability and drivers of sustainable performance in the metal manufacturing industry. Resources, Conservation and Recycling, 140, 102–114. https://doi.org/10.1016/j.resconrec.2018.08.005

Pachar, N., Darbari, J. D., Govindan, K., & Jha, P. (2022). Sustainable performance measurement of Indian retail chain using two-stage network DEA. Annals of Operations Research, 315(2), 1477–1515. https://doi.org/10.1007/s10479-021-04088-y

Pakurár, M., Khan, M. A., Benedek, A., & Oláh, J. (2020). The impact of green practices, cooperation and innovation on the performance of supply chains using statistical method of meta-analysis. Journal of International Studies, 13(3), 56–74. https://doi.org/10.14254/2071-8330.2020/13-3/8

Papoutsi, A., & Sodhi, M. S. (2020). Does disclosure in sustainability reports indicate actual sustainability performance? Journal of Cleaner Production, 260, Article 121049. https://doi.org/10.1016/j.jclepro.2020.121049

Pinto, L. (2020). Green supply chain practices and company performance in Portuguese manufacturing sector. Business Strategy and the Environment, 29(5), 1832–1849. https://doi.org/10.1002/bse.2471

Purnomo, H., Okarda, B., Dewayani, A. A., Ali, M., Achdiawan, R., Kartodihardjo, H., Pacheco, P., & Juniwaty, K. S. (2018). Reducing forest and land fires through good palm oil value chain governance. Forest Policy and Economics, 91, 94–106. https://doi.org/10.1016/j.forpol.2017.12.014

Qorri, A., Gashi, S., & Kraslawski, A. (2021). Performance outcomes of supply chain practices for sustainable development: A meta‐analysis of moderators. Sustainable Development, 29(1), 194–216. https://doi.org/10.1002/sd.2140

Qu, S., Zhou, Y., Zhang, Y., Wahab, M., Zhang, G., & Ye, Y. (2019). Optimal strategy for a green supply chain considering shipping policy and default risk. Computers & Industrial Engineering, 131, 172–186. https://doi.org/10.1016/j.cie.2019.03.042

Raj, A., & Srivastava, S. K. (2018). Sustainability performance assessment of an aircraft manufacturing firm. Benchmarking: An International Journal, 25(5), 1500–1527. https://doi.org/10.1108/BIJ-01-2017-0001

Rehman Khan, S. A., & Yu, Z. (2021). Assessing the eco-environmental performance: An PLS-SEM approach with practice-based view. International Journal of Logistics Research and Applications, 24(3), 303–321. https://doi.org/10.1080/13675567.2020.1754773

Saeed, A., Jun, Y., Nubuor, S. A., Priyankara, H. P. R., & Jayasuriya, M. P. F. (2018). Institutional pressures, green supply chain management practices on environmental and economic performance: A two theory view. Sustainability, 10(5), Article 1517. https://doi.org/10.3390/su10051517

Sheng, X., Chen, L., Yuan, X., Tang, Y., Yuan, Q., Chen, R., Wang, Q., Ma, Q., Zuo, J., & Liu, H. (2023). Green supply chain management for a more sustainable manufacturing industry in China: A critical review. Environment, Development and Sustainability, 25(2), 1151–1183. https://doi.org/10.1007/s10668-022-02109-9

Setiawan, M. I., Nasihien, R. D., & Masirin, M. I. M. (2021). Development of emobility mobile APP based on geographic information systems: Integratiing public transportation, regional GDP, regional government budget revenues and expenditures (APBD) in Indonesia. International Journal of eBusiness and eGovernment Studies, 13(1), 220–238.

Setyadi, A. (2019). Does green supply chain integration contribute towards sustainable performance? Uncertain Supply Chain Management, 7(2), 121–132. https://doi.org/10.5267/j.uscm.2018.10.012

Shafi, M., Szopik-Depczyńska, K., Cheba, K., Ciliberto, C., Depczyński, R., & Ioppolo, G. (2022). Innovation in traditional handicraft companies towards sustainable development. A systematic literature review. Technological and Economic Development of Economy, 28(6), 1589–1621. https://doi.org/10.3846/tede.2022.17085

Shahzad, M., Qu, Y., Rehman, S. U., & Zafar, A. U. (2022). Adoption of green innovation technology to accelerate sustainable development among manufacturing industry. Journal of Innovation & Knowledge, 7(4), Article 100231. https://doi.org/10.1016/j.jik.2022.100231

Shao, J., & Ünal, E. (2019). What do consumers value more in green purchasing? Assessing the sustainability practices from demand side of business. Journal of Cleaner Production, 209, 1473–1483. https://doi.org/10.1016/j.jclepro.2018.11.022

Silva, G. M., Gomes, P. J., & Sarkis, J. (2019). The role of innovation in the implementation of green supply chain management practices. Business Strategy and the Environment, 28(5), 819–832. https://doi.org/10.1002/bse.2283

Siminică, M., Avram, M., Roxana, L. P., & Avram, L. (2020). The adoption of national green procurement plans from the perspective of circular economy. Amfiteatru Economic, 22(53), 15–27. https://doi.org/10.24818/EA/2020/53/15

Tlapana, T., & Sandlana, T. (2021). Factors influencing consumer preferences of restaurants in the greater Buffalo city. International Journal of Business and Management Studies, 13(1), 38–59.

Tseng, M.-L., Tan, P. A., Jeng, S.-Y., Lin, C.-W. R., Negash, Y. T., & Darsono, S. N. A. C. (2019). Sustainable investment: Interrelated among corporate governance, economic performance and market risks using investor preference approach. Sustainability, 11(7), Article 2108. https://doi.org/10.3390/su11072108

Tumpa, T. J., Ali, S. M., Rahman, M. H., Paul, S. K., Chowdhury, P., & Khan, S. A. R. (2019). Barriers to green supply chain management: An emerging economy context. Journal of Cleaner Production, 236, Article 117617. https://doi.org/10.1016/j.jclepro.2019.117617

Vințe, C., Smeureanu, I., Dârdală, M., & Reveiu, A. (2021). Sustainable development in education–automating curriculum assessment. Technological and Economic Development of Economy, 27(5), 1159–1185. https://doi.org/10.3846/tede.2021.15018

Wahab, S., Zhang, X., Safi, A., Wahab, Z., & Amin, M. (2021). Does energy productivity and technological innovation limit trade-adjusted carbon emissions?. Economic Research-Ekonomska Istraživanja, 34(1), 1896–1912. https://doi.org/10.1080/1331677X.2020.1860111

Wang, C., Zhang, Q., & Zhang, W. (2020). Corporate social responsibility, Green supply chain management and firm performance: The moderating role of big-data analytics capability. Research in Transportation Business & Management, 37, Article 100557. https://doi.org/10.1016/j.rtbm.2020.100557

Xinhuanet. (2020). Address at the 75th general debate of the United Nations General Assemble. http://www.xinhuanet.com/2020-09/22/c_1126527652.htm.

Yang, C.-l., & Lien, S. (2018). Governance mechanisms for green supply chain partnership. Sustainability, 10(8), Article 2681. https://doi.org/10.3390/su10082681

Yodchai, N., Ly, P. T. M., & Tran, L. T. T. (2022). Co-creating creative self-efficacy to build creative performance and innovation capability for business success: A meta-analysis. Creativity Studies, 15(1), 74–88. https://doi.org/10.3846/cs.2022.13852

Yook, K. H., Choi, J. H., & Suresh, N. C. (2018). Linking green purchasing capabilities to environmental and economic performance: The moderating role of firm size. Journal of Purchasing and Supply Management, 24(4), 326–337. https://doi.org/10.1016/j.pursup.2017.09.001

Younis, H., & Sundarakani, B. (2019). The impact of firm size, firm age and environmental management certification on the relationship between green supply chain practices and corporate performance. Benchmarking: An International Journal, 27(1), 319–346. https://doi.org/10.1108/BIJ-11-2018-0363

Zaid, A. A., Jaaron, A. A., & Bon, A. T. (2018). The impact of green human resource management and green supply chain management practices on sustainable performance: An empirical study. Journal of Cleaner Production, 204, 965–979. https://doi.org/10.1016/j.jclepro.2018.09.062

Zhang, X., & Yousaf, H. A. U. (2020). Green supply chain coordination considering government intervention, green investment, and customer green preferences in the petroleum industry. Journal of Cleaner Production, 246, 1189–1207. https://doi.org/10.1016/j.jclepro.2019.118984

Zimon, D., Tyan, J., & Sroufe, R. (2019). Implementing sustainable supply chain management: Reactive, cooperative, and dynamic models. Sustainability, 11(24), Article 7227. https://doi.org/10.3390/su11247227