Impact of Green Supply Chain Management (GSCM) on Business Performance and Environmental Sustainability: Case of a Developing Country

Abstract

In this Fourth Industrial Revolution (4IR), sustainable development for business firms depends on maintaining sustained performance and environmental sustainability to a great extent. The current study discovers the impact of green supply chain management (GSCM) practices on business performance and the environmental sustainability of a developing country, Bangladesh. Cost and profit are the two important indicators of business performance. On the other hand, environmental sustainability is expressed by waste disposal, resource consumption, and greenhouse gas emission. Primary data were collected through the distribution of web links and direct interaction with the participants of different firms practicing GSCM practices in Bangladesh. A structured questionnaire was used for data collection. Hypotheses were formulated and evaluated accordingly. This study found that the impact of implementation of GSCM practices differs with respect to cost, profit, waste disposal, resource consumption, and greenhouse gas emission. GSCM practices have a statistically significant impact on cost, waste disposal, resource consumption, and greenhouse gas emission. The impact of GSCM practices on profit was statistically insignificant. It was found that lack of IT implementation, high cost of waste disposal, uncertainty and competition in the market, resistance to change, and lack of top management support are the major barriers to implement GSCM practices in Bangladesh.