Abstract
Recent years have seen sparked interest to business models based on sustainable development, which seek harmonious co-development of human resources, organizational culture, and production systems. This paper analyzes how HR management practices, a culture of energy conservation, and staff’s knowledge regarding energy efficiency affect the ability of Russian industrial companies to reach their targets in energy management. Methods in use involve factor analysis, structural equation modeling (SEM), and the author-developed questionnaire that is designed to measure the effects of internal intellectual factors (human resources, culture, and knowledge) on industrial energy performance. For the first time, this paper presents an SEM-based estimation of HR practices and their effects on industrial energy performance. Empirically, this study is based on the results of surveys that involved managers and technical officers of 14 Russian industrial companies in 2016-2017. Analysis shows that employee training, development of energy efficiency skills, and sharing knowledge on energy conservation issues do contribute to reaching the energy policy targets.
Highlights
In the context of globalization, countries, regions, and companies of different sizes focus on controlling their increasing energy consumption and improving the energy efficiency of production activities
This paper explores how the organizational culture of energy conservation and HR management practices contribute to the better energy and environmental performance of industrial facilities
The empirical study based on structural equation modeling tests hypotheses made as part of the general model that shows the relationships between management practices and performance indicators
Summary
In the context of globalization, countries, regions, and companies of different sizes focus on controlling their increasing energy consumption and improving the energy efficiency of production activities. Global crises such as the 1970s energy crisis coupled with the environmental disasters of today urged developed countries to rationalize energy conservation efforts in an approach based on systematicity, long-term planning, responsible use and development of the environment. Empirical studies have shown that in the coming years, systemic energy management can help industrial enterprises cut their energy consumption by up to 40% (Ates and Durakbasa, 2012) These principles are based on adopting energy management elements in all departments; these elements include better organizational culture and advanced HR management practices. The empirical study based on structural equation modeling tests hypotheses made as part of the general model that shows the relationships between management practices and performance indicators
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