The hidden linkage of corporate efficiency and green innovation with human resource management practices: a newly perspective from China.

Abstract

It is disappointing that despite having access to human resources at very little cost, rising countries' administrations are so ineffective. It is often believed that an organization's unheralded employees hold the keys to its success or failure. A person's mood and demeanor may be influenced by a variety of factors. Human resource management (HRM) methods have been created and used by scientists all over the globe in an effort to maximize the potential of their most important asset. Eco-friendly inventions are crucial to the survival of humanity and the prosperity of enterprises throughout the world. Therefore, the purpose of this research is to look at how green innovation affects both the environment and businesses. Green process metrics and green product metrics, for example, may have an impact on green innovation, which is why these metrics are important to track. The second primary goal of this research is to learn how the commitment and HR practices of top management shape the link between green innovation and economic and environmental success. A self-reported poll was taken by 370 employees in China's manufacturing industry. A partial least square structural equation modelling was used to examine the data collected between April 2021 and February 2022. This research employed confirmatory component analysis, a standard technique of structural equation modelling (SEM) for examining both overt and covert variables and indicators, to assess the reflecting indicators measurement model. The findings suggest that HRM has an effect on green innovation that is both positive and statistically significant. The environment and the economy benefit greatly from green innovations. Relationships between HRM and green innovation have no unfavorable implications on business results or the environment. However, human resource management has the potential to boost organizations' prosocial impact. In a three-way interaction (moderated moderation) model, organizational success is found to have a significant role, whereas environmental and organizational success play just a little one. To improve economic and environmental outcomes across all sectors, this study adds to the existing body of knowledge and argues for the wider implementation of green innovation practices. Human resource managers play a crucial role in developing a company's culture and values. The findings suggest that with leadership's blessing, green technologies may spread across a company.