Sustainable supply chain management and performance in Iran’s wooden furniture industry

Abstract

ABSTRACT The relationship between the sustainable supply chain practice and firm performance has attracted interest from scholars and industry owners in recent years. On this basis, a model for sustainable supply chain management (SCM) in Iranian Wood Furniture Industry was developed and used to improve the performance of home and office furniture manufacturing companies. The statistical population of the qualitative part consisted of experts and specialists of sustainable SCM, and purposive non-random sampling was used. A structural equation modeling was used in the inferential and quantitative part through Lisrel-v8.8 software. The study identified economic, environmental, and social factors as underlying dimensions of SSCM. It also identified the components of customer satisfaction, financial and market performance as performance components. The results revealed that the path coefficient of SSCM to performance was 0.90. As the t-statistic was 18.07, it was confirmed at 99% level. So, in Iranian wood furniture industry, SSCM has a statistically significant impact on firm performance. Several factors such as strategies, backgrounds, and intervening factors were considered in the final model. The study has significant practical implications for industrial managers and government policy makers in the furniture industry.