An investigation of green supply chain management practices on organizational performance using multivariate statistical analysis

Abstract

Global warming and climate change are the main hurdles facing humanity. They are caused by various market practices, such as mining natural resources, fossil fuels used for power generation, dumping hazardous waste, massive electricity generation, and much more. Different ideas, such as the use of hybrid cars, solar power, biogas, etc., have arisen to do business without negatively impacting the environment and Green Supply Chain Management (GSCM) is one of them. This paper focuses on the impact of GSCM practices on manufacturing companies’ operational efficiency and overall organizational performance. The study is explanatory and is based on the qualitative model. To analyze the factors influencing organizational performance concerning GSCM, we created questionnaires and utilized structural equation modeling (SEM) for inferential analysis. Our study revealed a mediating role between business performance and GSCM practices. Manufacturing companies need to consider the interaction between internal and external aspects of GSCM to integrate their operations effectively. Additionally, we suggest that examining the relationship between GSCM practices and organizational performance is crucial. This examination addresses the major obstacles in utilizing GSCM practices effectively and proposes a management approach for implementing GSCM in organizations.

Keywords

• Green supply chain management
• Structural equation modeling
• Manufacturing companies
• Organizational performance
• Global warming and climate change