Digital technologies and green human resource management: Capabilities for GSCM adoption and enhanced performance

Abstract

Highly competitive and complex markets require dynamic capabilities in order to maintain superior performance. This research is considered one of the first empirical works that use the dynamic capability hierarchy in the sustainability context and Green Supply Chain Management (GSCM) literature to investigate the effects of digital technologies (DTs) and green human resources management (GHRM) on economic and environmental performance, through the building of environmental capabilities, such as GSCM operational practices (GSCM-OP). Hypotheses were tested in a sample of 207 Colombian manufacturing companies by means of the Partial Least Squares Structural Equations Model. The article argues that GSCM-OP acts as lower-order capability mediating the relation between DTs and GHRM towards environmental and economic performance. The role of GSCM-OP as a mediator is critical towards taking advantage of DTs and GHRM aiming to an enhanced performance. Practical guidelines are proposed to managers in order to planning a sequence of adoption of practices that would be worthwhile in order to better guide financial investments in firms.