The Role of Manufacturing Organizations in the Adoption of Sustainable Supply Chain Management Practices and Performance

Abstract

This study examined the extent of relationships for sustainable adoption of supply chain management practices and performance in Nigerian manufacturing organizations. The study looked into the factors that influence the breadth and depth of the industry’s activities and presented series of constructs that identify sustainable supply chain management operating activities, the factors that act as driving environmental issues and what specific management practices exist in the selected companies. The study adopted the concept of system theory, which is key aspect of the roots of environmental management. The study also reviewed the impact of pro-active and re-active practices in the implementation of sustainable supply chain management. The survey questionnaire was used for data collection from the selected respondents. The companies were selected randomly. The survey instrument was administered using convenience sampling techniques which was deemed the most feasible approach. Factor analysis was conducted to confirm groupings of sustainable supply chain management practices and performance. Kaiser criterion was employed and the hypotheses testing done using correlation model. The results showed significant positive relationships for all the variables used for the test. The study however had some limitations for most of the respondents were reluctant to answer the questions due to cultural issues. The study concluded by indicating that to succeed in the competitive market, that companies should learn to align their supply chain with the demands of the markets they serve. The study have significant impact on the manufacturers in Nigeria and other developing countries, for they need to understand the potential positive effects sustainable supply chain practices could have on different dimensions of performance and be more proactive in the adoption of such practices.