Abstract
The evolution of green supply chain management (GSCM) in small and medium-sized enterprises (SMEs) remains underexplored in the literature. Specifically, this study assesses the changes in the effects of GSCM implementation on employee job satisfaction, operational and relational efficiency, and business performance of SMEs that serve as suppliers to large buying firms. The present study collected survey data from 193 electronics manufacturers in South Korea twice in a seven-year time gap, evaluated the reliability and the validity of individual measures, and employed structural equation modeling (SEM) to test the model hypotheses. The results commonly found in the two studies with the time gap are (1) the positive effects of GSCM implementation on employee job satisfaction and operational and relational efficiency, (2) the positive effects of both operational and relational efficiency on business performance, and (3) the positive relationship between operational efficiency and relationship efficiency. Moreover, the positive effect of employee job satisfaction on business performance is found only in the latter study (Study II). The results suggest that GSCM implementation is a critical factor for SME suppliers to establish sustainable long-term relationships with buying firms in the electronics industry, and it also helps manufacturers improve employee job satisfaction and operational efficiency over time. The present study is believed to enhance an understanding of key factors in association with GSCM that positively influences the business performance of SME suppliers.
Highlights
There has been growing awareness of environmental protection in our societies, and companies have been under institutional pressures, such as market pressure and regulatory pressure for it
I: b = 0.462, p < 0.01; Study II: b = 0.396, p < 0.01). These results provide support for Hypothesis 2a (H2a), Firstly, this study presented that the green supply chain management (GSCM) implementation helped small and medium-sized enterprises (SMEs) suppliers
The present study examines the effect changes of the GSCM implementation on the business performance of SME suppliers over time
Summary
There has been growing awareness of environmental protection in our societies, and companies have been under institutional pressures, such as market pressure and regulatory pressure for it. As an increasing number of customers prefer environmentally friendly products and services, regulatory authorities are applying incremental pressure on companies to curb activities, such as generating carbon emissions and producing toxic products that have adverse environmental effects [1,2]. Many companies are making great efforts to introduce environmentally friendly processes to get reasonable Environmental, Social, and Corporate. The ESG committee is usually formed in the board of directors, the company’s top decision-making body. It is responsible for reviewing significant decisions, such as management plans and investments related to ESG. Samsung C&T and Hyundai Mobis were chosen from all Sustainability 2021, 13, 11874.
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