Bottom Line Performance Research Articles

The role of structural strategic cost management techniques in supporting firms' triple bottom line performance in supply chain context

The role of structural strategic cost management techniques in supporting firms' triple bottom line performance in supply chain context

The role of executional strategic cost management techniques in supporting firms' triple bottom line performance

The role of executional strategic cost management techniques in supporting firms' triple bottom line performance

Can entrepreneurial orientation improve sustainable development through leveraging internal lean practices?

AbstractThis study aims to examine the mediating role of internal lean practices (ILPs) on the relationship between entrepreneurial orientation and triple bottom line performance (i.e. environmental, social, and operational performance). We examine Chile, which represents a vibrant economy and one of the world's most productive entrepreneurship ecosystems but with a history of socio‐economic inequalities and strong profit‐driven pressures to overextract natural resources. The study is based on a questionnaire related to manufacturing sent to 112 companies in Chile. The proposed relationships are analysed through structural equation modelling. The results indicate that ILPs fully mediate the effect of entrepreneurial orientation on environmental performance and social performance and partially mediates the effect of entrepreneurial orientation on operational performance. Our study extends the literature by explaining that entrepreneurial orientation builds and strengthens ILPs for creating triple bottom line competitive advantage.

Influence of Service Quality on Customer Satisfaction and Customer Loyalty in the Private Banking Sector of Bangladesh: A PLS Approach

In this competitive business era, the key strategy for the success and survival of any business organization is the deliverance of quality services to customers because service quality has beneficial effect on the bottom-line performance for the organization. As a financial organization, banks are continuously introducing their new products and services at regular intervals to satisfy and retain their customers and hence, achieving high levels of service is one of techniques to keep customers both satisfied and loyal. Thus, this study intends to determine the impact of Service Quality on Customer Satisfaction and Customer Loyalty in private banking sector of Bangladesh. Five dimensions of Servqual Model such as tangibility, reliability, responsiveness, empathy, and assurance (Parasuraman, Zeithaml, & Berry, 1985) are considered as the base for this study. A structured questionnaire with 5-point Likert scale has been used to gather the data for this study by conducting survey. The sample size is 100 and chosen on a convenient basis. Data has been analyzed by using PLS 3.0 software. SPSS software (version 20) package was also used to present the data demographically. The result shows that tangibility and empathy have significant effect on customer satisfaction, on the other hand, reliability, responsiveness and assurance don’t have any significant effect on customer satisfaction. Moreover, customer satisfaction has direct significant effect on customer loyalty. Finally, this study proposed few recommendations for the managerial implication.

Understanding Perceptions of Faculty and Students about Sustainability in Indian Business Management Schools

Sustainable development (SD)/sustainability as a concept has gained prominence following global society's realisation that contemporary models of development cannot sustain for a long time. Businesses, in general, are blamed for unsustainable use of natural resources, large-scale environmental degradation, and increasing economic divide in the society. For businesses to be able to transform themselves towards triple bottom line performance, it is imperative that business managers should have in-depth knowledge, abilities, and right value system. The present study tries to assess these aspects among teachers and students of premier business management schools in India by undertaking a structured questionnaire survey. The results indicate that while these two important groups of stakeholders in SD show more or less right value systems, they significantly lack in knowledge of and abilities to handle various SD issues. The findings have implications for business management education policies and administrations of business management schools in the developing world.

Forecasting product returns and reverse logistics performance: structural equation modelling

PurposeForecasting product returns plays an important role in the operations of reverse logistics (RL). However, their contribution to sustainability performance is yet to be explored. The purpose of this paper is to explore the product returns in Indian electronics industry and examine the relationship of forecasting product returns with triple bottom line performance of RL.Design/methodology/approachIn this study, based on past literature review, four hypotheses, relating to forecasting of product returns and its association with performance, were developed. A questionnaire was sent to 700 respondents from the Indian electronics industry. Overall, 208 received responses were found suitable for the research. The necessary statistical analysis was carried out to ensure the reliability and validity of the questionnaire. In order to test different hypotheses, partial least square path modelling (PLSPM) technique of structural equation modeling was utilized.FindingsMeasurement model had shown sufficient data fit for the modeling. PLSPM results reveal that the accuracy in forecasting product returns is positively associated with operational performance of RL. It also plays an important role in the sustainability efforts of an organization.Research limitations/implicationsManagers can utilize results of study for exploring and emphasizing issues of product returns for improving RL performance. One of the limitations is that data are collected only from Indian electronics industry. Another limitation is that only product returns are considered for the operational and TBL performance of RL. In future, study may be carried out considering different factors in other sectors and countries.Originality/valueThe intent of forecasting product returns is considered to be operational efficiency. It can make significant contributions to the sustainability efforts of an organization. Review of the past literature indicates that research in the field of RL is in developing stage, and issues related to forecasting product returns are under-represented. The paper adds value to the few available articles on product returns.

Online and offline assortment strategy for vertically differentiated products

A growing number of retailers are becoming brick-and-click retailers as they pursue a dual-channel strategy that uses both conventional retail stores and the Internet to sell products. In a brick-and-click retail environment, assortment planning in one channel has a significant impact on the demand in both channels, and consequently, influences retailers’ bottom-line performance. We developed a stylized model to address a dual-channel retailer's assortment decision for vertically differentiated products and to investigate how the product and price offerings in online and offline channels jointly affect consumer demand. We incorporated the shelf-space constraint of the brick-and-mortar store and a disutility of online purchase into the assortment optimization model. Analytically, we derived results on the structure of the optimal assortment. We demonstrated that it was more profitable for the retailer to sell through both offline and online channels. Counterintuitively, we showed that in the optimal assortment, it was not necessary to designate a high-quality product to the offline store and a low-quality product to the online channel. We also identified two effective ways to improve profit: expansion of the offline channel and reduction of online disutility.

PENILAIAN KINERJA TRIPLE BOTTOM LINE PERUSAHAAN HIGH PROFILE DAN LOW PROFILE YANG LIST DI BEI

This research is conducted with the aim of analyzing the performance of companies in Indonesia if measured by Triple Bottom Line and testing whether companies with high environmental risk (high profile type) have different performance with companies with low environmental risk (low profile type). Triple Bottom Line performance is measured by the GRI-G4 Index. The data were obtained from companies listed on the Indonesia Stock Exchange in 2017 and the research sample was conducted with purposive technique and obtained 42 companies. Data is obtained by downloading Financial reports and CSR Report at www.idx.co.id. Data analysis was done by descriptive statistic and Independent Sample T Test. The results showed that performance based on Triple Bottom Line in Indonesia in 2017 was low (24%). Whereas, if observed on performance differences in companies with high profile type with low profile type, profit performance measured by economic aspects and the performance of planets measured by environmental aspects is unlikely. While the performance of people measured by social aspect shows difference between high profile company and low profile.

Impact of liquidity risk on the performances of Sri Lankan commercial banks

This study investigates the impact of liquidity risk on the performance of commercial banks in Sri Lanka by analysing secondary panel data of six systemically important banks in the Sri Lankan financial system from 2006 to 2016. The objective of this study is to identify the significant liquidity risk factors and the impact of them on both top line and bottom line performance indicators of commercial banks. Researchers find that liquidity gap and non-performing loan ratio are the significant proxies for liquidity risk. Multiple regression analysis reveals that liquidity risk negatively and significantly affects bottom lines Return on Average Assets (ROAA) and Return on Average Equity (ROAE), whilst positively affects the top line Net Interest Margin (NIM) of the commercial banks. The findings of this study suggest that expenses of the banks should be controlled with better liquidity management to enhance bottom line performances.

Sustainability metrics for assessing water resource recovery facilities of the future.

The recovery of water, energy, and nutrients from water resource recovery facilities (WRRFs) is needed to address significant global challenges, such as increasing water demand and decreasing availability of nonrenewable resources. To meet these challenges, innovative technological developments must lead to increased adoption of water and resource recovery processes, while addressing stakeholder needs (e.g., innovators, practitioners, regulators). A test bed network of over 90 partner facilities within the United States and abroad will help accelerate innovation and widespread adoption of novel processes through multiscale testing and demonstration of technologies. In this paper, we define a common set of environmental, economic, technical, and social performance metrics for innovative technologies, that will meet the needs of multiple stakeholders in the decision-making process. These triple bottom line performance metrics can be used to track the sustainability of technologies in a consistent and transparent manner, while aiding the decision-making process for WRRFs. PRACTITIONER POINTS: The Facilities Accelerating Science and Technology (FAST) Water Network includes over 90 test bed facilities dedicated to accelerating innovation and adoption of water energy, and nutrient recovery systems. A common set of environmental, economic, technical, and social performance metrics should be measured and reported when a new technology is evaluated in the FAST Water Network. Performance metrics can aid sustainable decision-making at WRRF, while meeting the needs of multiple stakeholders.

Fuzzy Multi-Agent approach for monitoring SMEs sustainable SC under uncertainty

In a context of Small and Medium Enterprises (SMEs), the concept of sustainability has become increasingly important within the decision making strategies. The competitiveness and uncertain environment has also a key role for decision makers to find best practices to achieve sustainability which is concerned with integrating environmental, social and economic goals across a supply chain process. This paper proposes an intelligent dynamic system driven by agents that integrates Fuzzy Logic (FL) and Multi-criteria/multi-objective decision making (MC/MODM) methods to highlight the assessment process of the triple bottom line performance from a small scale ( SMEs) to a large scale supply chain under uncertainty.

Achieving triple bottom line sustainability in supply chains

PurposeCompanies are increasingly challenged by sustainability-related supply chain risks. Research has developed linking supply chain sustainability priorities, practices and triple bottom line performance; however, risk is rarely included in these models. The purpose of this paper is to understand the link between sustainable supply chain strategies, practices and performance, and to test the importance of risk management practices in this relationship focusing on the product category level.Design/methodology/approachThe paper includes a survey of supply managers in four countries with 305 responses, with a focus on upstream supply chain strategies at the product category level.FindingsThe environmental and social sustainability strategies lead to sustainable supply sustainable performance, through focused practices in either area, but the effect on operational and cost performance is not significant. Social supply chain strategies positively impact environmental and cost performance when mediated by risk assessment practices.Originality/valueThis paper shows a more nuanced view of the impact of supply chain practices on the strategy–performance link. It is one of the first papers to empirically test the role of risk practices in sustainable supply chain management and emphasize the importance of alignment across the main dimensions of sustainability to achieve positive sustainable performance outcomes, but not necessarily cost and operational performance. Unlike other studies, social sustainability priorities may positively impact environmental and social performance and is linked to cost advantage when implemented with risk assessment practices.

The impact of green purchasing capabilities and practices on firm sustainability


 The Conceptual framework of this study consists of the three main hypotheses to examine and reflect the positive relationship between the green purchasing capabilities ( integration, intra-organizational, innovative, financial and manufacturing) and green purchasing practices (supplier selection, development, collaboration, and evaluation) on triple bottom line performance. (Environmental, economic and intangible performance). The results of the study revealed that green manufacturing, financial, intraorganisational, and integration capabilities have positive significant effects on green purchasing practices. Nevertheless, innovation capabilities have no significant effect on green purchasing practices. On the other hand, the survey results indicate that green purchasing practices have positive effects on the triple bottom line performance of the firms. The research finding shows that there is a positive effect of green manufacturing capabilities, green integration capabilities and green intraorganisational capabilities on the triple bottom line performance. Meanwhile, there is no effect of green innovative and green financial capabilities on the triple bottom line performance of the firms.
 
 

Leading corporate sustainability: The role of top management team composition for triple bottom line performance

AbstractSustainable development at the corporate level requires balancing social, environmental, and financial performance goals. Achieving such “triple bottom line” (TBL) performance is a very challenging task. In this study, we explore the role the organization's top management team (TMT) plays in leading their organization towards corporate sustainability. We focus on how two distinct aspects of the TMT's structural composition—the presence of a “chief sustainability officer” (CSO) and the TMT's functional diversity—affect the organization's ability to reach high levels of TBL performance. We follow the presence of 22 global energy companies in Corporate Knight's “Global 100” sustainability index for a period of 11 years and find that, surprisingly, the presence of a CSO does not boost TBL performance. However, we do find a positive effect for TMT functional diversity, suggesting that more diverse TMTs are better able to lead their organization to higher levels of TBL performance.

Triple bottom line and sustainable performance measurement in industrial companies

Purpose The purpose of this paper is to propose a minimum set of indicators to be measured by industrial companies to represent the triple bottom line (TBL) approach. Design/methodology/approach The research is both descriptive and quantitative. Three hypotheses establish associations among the degrees of use of TBL indicators and their different degrees of use in firms. The authors used confirmatory factor analysis (CFA) to validate the scale and structural equation modelling to represent the final measurement model. The survey gathered 149 industrial companies. Findings The results pointed out that there are positive associations among the degree of use of environmental indicators and social indicators, economic, environmental and social indicators have different degrees of use in firms, a positive association between the degree of use of environmental and social indicators and the use of economic indicators was not confirmed. The findings suggest how to measure sustainable performance for industrial companies and highlight the differences in the degree of use for the three dimensions of TBL. Research limitations/implications The limitations refer to the non-probabilistic sample, applied in a specific context, industrial companies. Practical implications This set of indicators is intended to be used by industrial companies as a reliable instrument to sustainable performance assessment of the current stage of the TBL deployment and provide alternative approaches to address specific issues related to the environmental, social and economic sustainability. Social implications The results offer tangible results for measuring and reporting firm’s social and environmental performance. Originality/value This paper intends to offer an integrated and consistent way of measuring sustainability in industrial companies.

Pathways for Sustainable Supply Chain Performance—Evidence from a Developing Country, Malaysia

Malaysia has recently started to adopt sustainable business best practices to benefit companies, environment and stakeholders. Therefore, this study demonstrates pathways to sustainable supply chain triple bottom line performance derived from linkages of institutional pressures (IP) and organizational identity (OI) to environment and social sustainable practices. It shows that the superordinate goal of sustainable supply chain management is met in spite of unyielding external pressures and desirable OI driving the unequivocal environmental and responsible social practices of firms. A survey approach was adopted to gather the data required for this study. A total of 118 completed questionnaires were received from respondents, who were managers and senior executives in supply chain management (SCM) in Malaysia. The data were analyzed using structural equation modeling with partial least squares (PLS-SEM) version 3.0. Our findings showed that all hypothesized relationships are significant except both process- and market-based social practices could not directly impact economic performance. This is in sharp contrast to environmental practices. However, the significant linkage between social practices and social performance is a pathway for the former to economic performance. Therefore, the economic benefits derived from social practices are salvaged through its performance outcomes. The novel and useful impact of institutional pressures on sustainable supply chain practices are also unearthed.

The Implications of Global Sourcing on the Triple Bottom Line: A conceptual analysis

The paper is to develop a conceptual analysis for the emergent field of the implications of global sourcing on the triple bottom line, which synthesizes antecedents, global sourcing practices and sustainable performance in the three dimensions of triple bottom line. We carry out a systematic literature review and analyse 70 studies on this topic. Three main themes were identified as antecedents, global sourcing practices and triple bottom line performance. Based on the literature review findings and analysis from the resource orchestration perspective, we further propose three sets of propositions to guide future research. This study provides a comprehensive understanding for studying sustainable global sourcing in the future.

Achieving triple bottom line performance in manufacturer-customer supply chains: Evidence from an emerging economy

Abstract The influence of sustainability on innovation is well-established, yet the efficacy of innovation as a determinant of sustainable performance in supply chains has received less scrutiny. This study examines green innovation practices as determinants of the triple bottom line performance. Moreover, the study implicates top management commitment to sustainability as a driver of green managerial and process innovation. The research employs AMOS to assess survey-based data collected from 181 Turkish manufacturers. The results offer evidence that top management commitment fosters green innovation practices, and these innovations enhance economic performance, environmental performance, and customer cooperation. Top management should therefore commit to achieving sustainable operations and follow up this commitment with green innovations that drive triple bottom line performance.

Exploring the pursuit of sustainability in reverse supply chains for electronics

Abstract This study examines reverse supply chains in the electronics industry. The analysis characterizes the flow of resources among firms in a reverse supply chain in the Norwegian electronics industry. The study subsequently examines influences of governance mechanisms and culture on the social, ecological, and economic performance in the supply chain. Based on principal-agency theory, the authors implicate collaboration, monitoring, and specific assets as determinants of the interfirm culture operating in the reverse supply chain. The interfirm culture and collaboration serve as antecedents to triple bottom line performance. Data collected with Norwegian electronics collectors indicate that collaboration and interfirm culture influence ecological, economic, and relational components of sustainable performance.

Can TOC be the catalyst for lean implementation? A case investigation

The objective of the paper is to investigate the potential of integrating lean philosophy with Goldratt's theory of constraints (TOC) to improve operational performance in an auto component manufacturing firm. This paper proposes an integrated lean philosophy-TOC framework and its case application to enhance operational performance in an auto component manufacturing firm. Case study results indicate that the company benefited from its emphasis on operational performance enhancement by the TOC concept. Managers were able to select a continuous improvement (CI) project that had a greater impact on the bottom line performance. On the other hand, lean philosophy provided seven wastes identification and reduction techniques, to enhance customer value as well as to optimise utilisation of available resources. Further empirical investigation and robust model development on TOC-based lean implementation will guide lean practitioners to leverage lean advantages which can further be improved by integrating with other CI techniques. Integration of lean manufacturing philosophy and TOC can provide managers with an effective platform for two CI techniques to work together and create great energies. The paper reveals a typical case of a journey of enhancing operational performance by adopting lean philosophy with initiations of TOC approach.