Green intellectual capital and green HRM enabling organizations go green: mediating role of green innovation

Abstract

PurposeThis study aims to investigate the complex relationship between green intellectual capital (GIC), green human resource management (GHRM) and green innovation (GI) for improvement in the environmental performance (EP) of an organization.Design/methodology/approachThe data collected from 456 food manufacturing firms in Pakistan was used for structural equation modeling through SmartPLS. Hypotheses were tested through path analysis, predictive relevance and effect size of variables.FindingsThe findings show that GIC and GHRM have no direct impact on EP; instead, GI plays a mediating role to make GIC and GHRM helpful in improving an organization’s EP. Also, the environmental strategies play a significant role in the EP and act as a moderator in the relationship between GI and EP.Originality/valueThe Global Climate Risk Index has ranked Pakistan as the fifth most vulnerable to climate change. Industrial activities are contributing significantly to carbon emissions, and therefore, it is vital to mitigate and adapt to climate change to improve the organization’s EP. The findings of this study show that GIC, GHRM and GI can significantly enhance the EP of food manufacturing firms in Pakistan.