The Factors that Influences Motivations in Green Supply Chain Management Practices Towards Organization Performance

Abstract

The purpose of this study is to understand influences nature of motivation in relating green supply chain management practices effects towards organization performance. Green Supply Chain Management (GSCM) is one of the recent innovations for the enhancement in organization capabilities in supply chain management. Not only that, green supply chain management is a progressively widely-diffused practice among companies that are seeking to improve their environmental performance. As such, green supply chain management is important in influencing the total environment impact of any organizations involved in supply chain activities. More importantly, green supply chain management can contribute to sustainability performance enhancement for organizations. In this paper, it will focus on the motivation factors that will influence organization performance through green supply chain management practices. Environmental factors will became one of the imperative element which it has been seen as an item to facilitate the organization performance in green supply chain management practices. For that purpose, this study utilizes survey data from organizations such as services, constructions and manufacturing industries in Malaysia. Through this study, 200 organizations had been distributed with questionnaire on the research topic. In the end, only 97 organizations from various industry in Malaysia had responded back the questionnaire and the data are used for this studies. Legitimization, Competitiveness and Concern for Environment were taken as the natures of motivations in green supply chain management practices towards organization performance. By applying multiple regression analysis, this study finds that the results revealed significant findings which indicated the impact of the legitimization in green supply chain management practices will influence organization performance. For supply chain practitioners, the results indicate that firms will likely to consider the green supply chain management practices when there is legitimization factors related in the practices.