Green construction supply chain management: Integrating governmental intervention and public–private partnerships through ecological modernisation

Abstract

There has been global recognition of the urgent need to tackle adverse environmental impacts of the construction industry. Construction companies are called upon to switch to ecological modernisation by scaling up the implementation of environmental management practices while maintaining a level of economic development. Under ecological modernisation theory, green supply chain management has emerged as an environmental technological innovation, helping organisations to switch to ecological modernisation. Past research revealed a need to identify mechanisms aimed at resolving conflicts among construction supply chain actors, speeding collaboration among them, and managing the transition to green supply chain management. This research aims to examine whether governmental intervention can act as an effective mechanism with which to foster public–private partnerships among construction companies, thereby promoting ecological modernisation through the adoption of green supply chain management. Data were collected from survey responses from 229 Chinese construction companies and analysed using partial least squares structural equation modelling. The results show that coordination between governmental support and public–private partnerships is necessary to aid construction companies in implementing green supply chain innovation and complying with environmental regulations and, thus, achieving multiple performance benefits, including environmental and short-term economic performance improvements. However, it is unlikely that green supply chain management alone could drive the long-term goal of ecological modernisation theory unless more proactive actions are taken by all stakeholders. This study demonstrates how ecological modernisation theory can be applied to advance green supply chain management studies. Enforcing and incentivising aspects of governmental intervention, i.e. environmental regulations and governmental support, have been proven to be effective in developing a regulatory framework for, and partnerships among, stakeholders. This results in the sharing of resources, knowledge and practices to contemplate a new paradigm of supply chain integration and coordination for the construction sector and promote active adaptation to green supply chain management.