Critical factors of green supply chain management on SMEs business performance Indonesia

Parama Kartika Dewa

Abstract


The COVID-19 pandemic has altered lifestyle and sparked a greater interest in GSCM. This study logically contributes to the branch of knowledge by demonstrating how resource-based attributes and integration can improve SME business performance while concurrently facilitating the successful transition from traditional to green supply chains. This study focused on batik SMEs that make their products using natural resources. The goal is to analyze SME performance models that affect GSCM, owner commitment, and supply chain connectivity. The data analyzed were gathered from a total of 163 experienced SME managers in the Special Region of Yogyakarta, Indonesia. PLS-SEM is the data analysis method used. The results validate that SME business performance is positively impacted by OC, SCC, and GSCM. The function of OC and SCC in SME business performance can also be mediated by GSCM.

Keywords


SCC; OC; GSCM; Business Performance

Full Text:

PDF

References


Adusei, E., Demah, E., & Boso, R.K. (2023). Top management commitment in greening supply chain operations: post-COVID-19 perspectives from an emerging economy. Journal of Global Operations and Strategic Sourcing, Vol. ahead-of-print No. ahead-of-print. https://doi.org/10.1108/JGOSS-03-2022-0021.

Cavalcante, I.M., Frazzon, E.M., Forcellini, F.A., & Ivanov, D. (2019). A supervised machine learning approach to data-driven simulation of resilient supplier selection in digital manufacturing. International Journal of Information Management. Volume 49, Pages 86-97. https://doi.org/10.1016/j. ijinfomgt.2019.03.004.

Chen, J., & Liu, L. (2020). Customer participation, and green product innovation in SMEs: the mediating role of opportunity recognition and exploitation. Journal of Business Research. Volume 119, Pages 151-162. https://doi.org/10.1016/j.jbusres.2019.05.033.

Chen, I.J., & Kitsis, A.M. (2017). A research framework of sustainable supply chain management: the role of relational capabilities in driving performance. The International Journal of Logistics Management. 28, 1454–1478. https://doi.org/10.1108/IJLM-11-2016-0265.

Chen, Y.-S., Su, H.-C., Ro, Y.K., 2017. The co-evolution of supplier relationship quality and product quality in the U.S. auto industry: a cultural perspective. International Journal of Production Economics. Volume 184, 245–255. https://doi.org/10.1016/j.ijpe.2016.12.020.

Chin, T. A., Tat, H. H., Sulaiman, Z., & Muhamad Zainon, S. N. L. (2015). Green supply chain management and sustainability performance. Advanced Science Letters, 21(5), 1359–1362. https://doi.org/10.1166/asl.2015.6029.

Chinomona, E., Popoola, B. A., & Imuezerua, E. (2017). The influence of employee empowerment, ethical climate, organisational support and top management commitment on employee job satisfaction. A case of companies in the Gauteng Province of South Africa. Journal of Applied Business Research. Vol. 33(1), 27–42. https://doi.org/10.19030/jabr.v33i1.9865.

Cohen, J. (1988). Statistical power analysis for the behavioral sciences. Lawrence Erlbaum, Mahwah, NJ.

Dolgui, A., & Ivanov, D. (2021). 5G in digital supply chain and operations management: fostering flexibility, end-to-end connectivity and real-time visibility through internet-of-everything. International Journal of Production Research, 60:2, 442-451. https://doi.org/10.1080/ 00207543.2021.2002969.

Dzikriansyah, M. Akbar., Masudin, I., Zulfikarijah, F., Jihadi, M., & Jatmiko, R. D. (2023). The role of green supply chain management practices on environmental performance: A case of Indonesian small and medium enterprises. Cleaner Logistics and Supply Chain. 6. 100100. https://doi.org/10.1016/j.clscn.2023.100100.

Dzikriansyah, M. Akbar., Masudin, I., Zulfikarijah, F., Jihadi, M., & Jatmiko, R. D. (2023). The role of green supply chain management practices on environmental performance: A case of Indonesian small and medium enterprises. Cleaner Logistics and Supply Chain. 6. 100100. https://doi.org/10.1016/j.clscn.2023.100100.

Famiyeh, S., Kwarteng, A., Asante-Darko, D., & Dadzie, S.A. (2018). Green supply chain management initiatives and operational competitive performance. Benchmarking: An International Journal. Vol. 25 No. 2, pp. 607-631. https://doi.org/10.1108/BIJ-10-2016-0165.

Farooque, M., Zhang, A., Liu, Y., Hartley, J.L. (2022). Circular supply chain management: Performance outcomes and the role of eco-industrial parks in China. Transportation Research Part E: Logistics and Transportation Review. 157, 102596. https://doi.org/10.1016/j.tre.2021.102596.

Giuffrida, M., & Mangiaracina. (2020). Green practices for global supply chains in diverse industrial, geographical, and technological settings: a literature review and research agenda. Sustainability. 12(23), 10151. https://doi.org/10.3390/su122310151.

Gonçalves de Almeida, J.M., Gohr, C.F., Morioka, S.N., Medeiros da N´obrega, B., 2021. Towards an integrative framework of collaborative capabilities for sustainability: a systematic review and research agenda. Journal of Cleaner Production. 279, 123789. https://doi.org/10.1016/j.jclepro.2020.123789.

Gonzalez, C., Agrawal, V., Johansen, D., & Hooker, R. (2022). Green supply chain practices: The role of institutional pressure, market orientation, and managerial commitment. Cleaner Logistics and Supply Chain. 5, 100067. https://doi.org/10.1016/j.clscn.2022.100067

Govindan, K., Shaw, M., & Majumdar, A. (2021). Social sustainability tensions in multi-tier supply chain: a systematic literature review towards conceptual framework development. Journal of Cleaner Production. 279, 123075.

Hair, J., Hollingsworth, C.L., Randolph, A.B., & Chong, A.Y.L. (2017). An updated and expanded assessment of PLS-SEM in information systems research. Industrial Management & Data Systems. 117 (3), 442–458. https://doi.org/10.1108/imds-04-2016-0130.

Hizarci-Payne, A.K., Ipek, I., & Kurt Gümüs., G. (2021). How environmental innovation influences firm performance: a meta-analytic review. Business Strategy and the Environment. 30, 1174–1190. https://doi.org/10.1002/bse.2678.

Kalwani, M.U., & Narayandas, N. (1995). Long-term manufacturer–supplier relation- ships: Do they pay? Journal of Marketing. Vol. 59, No. 1. pp. 1-16 59, 1–15. https://doi.org/10.2307/1252010.

Kamble, S.S., Gunasekaran, A., & Gawankar, S.A. (2020). Achieving sustainable performance in a data-driven agriculture supply chain: a review for research and applications. International Journal of Production Economics. Volume 219. Pages 179-194. https://doi.org/10.1016/j.ijpe.2019.05.022.

Khan, S. A. R., Dong, Q., Zhang, Y., & Khan, S. S. (2017). The impact of green supply chain on enterprise performance: In the perspective of China. Journal of Advanced Manufacturing Systems, 16(03), 263–273. https://doi.org/10.1142/S0219686717500160.

Khan, M., Ajmal, M. M., Jabeen, F., Talwar, S., & Dhir, A. (2022). Green supply chain management in manufacturing firms: A resource-based viewpoint. Business Strategy and the Environment, 1–16. https://doi.org/10.1002/ bse.3207.

Kitsis, A. M., & Chen, I. J. (2021). Do stakeholder pressures influence green supply chain Practices? Exploring the mediating role of top management commitment. Journal of Cleaner Production. 316. https://doi.org/10.1016/j.jclepro.2021.128258.

Kitsis, A.M., & Chen, I.J. (2020). Do motives matter? Examining the relationships between motives, SSCM practices and TBL performance. Supply Chain Management. Vol. 25 No. 3, pp. 325-341. https://doi.org/10.1108/SCM-05-2019-0218.

Li, X., Liu, D., Zhang, Z., Cheng, T., Liu, L., & Yuan, J. (2022a). The impact of internal and external green supply chain management activities on performance improvement: evidence from the automobile industry. Heliyon, 8. e11486. https://doi.org/10.1016/j.heliyon.2022.e11486.

Li, L., Shan, S., Dai, J., Che, W., & Shou, Y. (2022b). The impact of green supply chain management on green innovation: A meta-analysis from the inter-organizational learning perspective. International Journal of Production Economics. 250. 108622. https://doi.org/10.1016/j.ijpe.2022.108622 Received April 17 2022.

Liu, J., Hu, H., Tong, X., Zhu, Q., 2020. Behavioral and technical perspectives of green supply chain management practices: Empirical evidence from an emerging market. Transportation Research Part E: Logistics and Transportation Review. 140, 102013. https://doi.org/10.1016/j.tre.2020.102013.

Liu, J., Liu, Y., & Yang, L. (2020). Uncovering the influence mechanism between top management support and green procurement: The effect of green training. Journal of Cleaner Production. 251, 119674. https://doi.org/10.1016/j.jclepro.2019.119674.

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, 119383. https://doi.org/10.1016/j.jclepro.2019.119383.

Mofokeng, T. M., & Chinomona, R. (2019). Supply chain partnership, supply chain collaboration and supply chain integration as the antecedents of supply chain performance. South African Journal of Business Management. Vol 50, No 1. a193. https://doi.org/10.4102/sajbm.v50i1.193.

Özaşkına, A., & Görener, A. (2023). An integrated multi-criteria decision-making approach for overcoming barriers to green supply chain management and prioritizing alternative solutions. Supply Chain Analytics. 3. 100027. https://doi.org/10.1016/j.sca.2023.100027.

Schorsch, T., Wallenburg, C.M., Wieland, A., 2017. The human factor in SCM: introducing a meta-theory of behavioral supply chain management. Int. J. Phys. Distrib. Logist. Manag. 47, 238–262.

Sharma, M., Dhir, A., AlKatheeri, H., Khan, M., & Ajmal, M. M. (2023). Greening of supply chain to drive performance through logical integration of supply chain resources. Business Strategy and the Environment, bse.3340. https://doi.org/10.1002/bse.3340.

Song, H., Li, M., & Yu, K. (2021). Big data analytics in digital platforms: how do financial service providers customize supply chain finance? International Journal of Operations & Production Management. 41 (4), 410–435. https://doi.org/10.1108/ijopm-07-2020-0485.

Tseng, M.-L., Islam, M. S., Karia, N., Fauzi, F. A., & Afrin, S. (2019). A literature review on green supply chain management: Trends and future challenges. Resources, Conservation and Recycling. 141, 145–162. https://doi.org/10.1016/j.resconrec.2018.10.009.

Wong, C.W.Y., Lirn, T.-C., Yang, C.-C., & Shang, K.-C. (2020). Supply chain and external conditions under which supply chain resilience pays: an organizational information processing theorization. International Journal of Production Economics. 226, 107610 https://doi.org/10.1016/j. ijpe.2019.107610.

Yang, M., Fu, M., & Zhang, Z. (2021). The adoption of digital technologies in supply chains: drivers, process and impact. Technol. Forecast. Soc. Change 169, 120795. https:// doi.org/10.1016/j.techfore.2021.120795.

Yang, Y., Chen, Y., Lee, P. K.C., & Cheng, T.C.E. (2023). How to enhance the effects of the green supply chain management strategy in the organization: A diffusion process perspective. Transportation Research Part E. Volume. 175. 103148. https://doi.org/10.1016/j.tre.2023.103148.

Zhang, Y., Huo, B., Haney, M.H., & Kang, M. (2022). The effect of buyer digital capability advantage on supplier unethical behavior: a moderated mediation model of relationship transparency and relational capital. International Journal of Production Economics. 253, 108603. https://doi.org/10.1016/j.ijpe.2022.108603.

Zhao, N., Hong, J., & Lau, K. H. (2023). Impact of supply chain digitalization on supply chain resilience and performance: A multi-mediation model. International Journal of Production Economics. 259. 108817. https://doi.org/10.1016/j.ijpe.2023.108817.

Zhu, Q., Feng, Y., & Choi, S.-B. (2017). The role of customer relational governance in environmental and economic performance improvement through green supply chain management. Journal of Cleaner Production, 155, 46–53.

https://doi.org/10.1016/j.jclepro.2016.02.124.




DOI: https://doi.org/10.31315/opsi.v17i1.11931

Refbacks

  • There are currently no refbacks.




Sekretariat :
Jurusan Teknik Industri
FTI UPN "Veteran" Yogyakarta
d.a Jalan Babarsari 2 Tambakbayan Yogyakarta 55281
Telp. (0274) 486256
Website http://jurnal.upnyk.ac.id/index.php/opsi
email : jurnal.opsi@upnyk.ac.id

 

indexed by:

 
 
 


Lisensi Creative Commons
This work is Licensed Under a Creative Commons Attribution 4.0 International license.

View My Stats
slot gacor slot gacor hari ini slot gacor 2025 demo slot pg slot gacor slot gacor