Sustainable Organizational Performance Research Articles

Why Industry 4.0 Adoption is Unavoidable for Sustainable Performance of Organizations?

The purpose of this research is to endorse the importance of the fourth industrial revolution and its adoption in terms of organizational performance. In this study, we have discussed that the adoption of Industry 4.0 (I4A) parameters can improve production outcomes and reduce operational wastes. In order to comprehend whether Industry 4.0 parameters are feasible to accomplish, organizations should get valuable guidelines by differentiating the production outcomes vide pre and post-technological implementation. It has been revealed that organizations with industry 4.0 lean and sustainable practices have achieved more substantial upshots in social, economic, operational, and environmental performance i.e. overall Organizational Performance (OP). Likewise, prevailing global trends have indicated that innovative performance and adoption of Industry 4.0 technologies have become ‘unavoidable’ in the business arena, thus providing the sign to companies to start embracing developments related to process optimization in order to sustain or even reinforce the competitiveness. Conclusively, organizations should not only emphasize process automation but also introduce smart and credible systems for better outcomes

The impact of green transformational leadership, green HRM, green innovation and organizational support on the sustainable business performance: evidence from China

Currently, sustainable business performance has become the global requirement due to the recent economic disaster, and green measures have been considered the leading solution for it. This situation has gained the attention of recent literature and regulators; thus, the present study examined the green transformational leadership (GTL), human resource management (HRM), and innovation on the sustainable business performance of the manufacturing organizations in China. The moderating impact of perceived organizational support among the association of GTL, green HRM, green innovation, and sustainable business performance of the manufacturing organizations in China was also investigated. The questionnaires method was adopted to collect data, and the smart-PLS was used to test the hypotheses. The results indicated that GTL, green HRM, and green innovation have a significant and direct association with the sustainable business performance of the manufacturing organizations in China. The outcomes also revealed that organizational support significantly moderates among the nexus of GTL, green HRM, green innovation, and sustainable business performance of the manufacturing organizations in China. The current research provides help to the regulators while formulating policies and guides the new researchers while examining this topic in the future.

Evaluating board diversity and its importance in the environmental and social performance of organizations

AbstractPast literature documenting the relationship between board diversity and organizational sustainability performance resulted in inconclusive findings. The study draws on the resource dependency theory to investigatehowboard gender diversity and age diversity influence the corporate social responsibility (CSR) performance of organizations. The qualitative data were collected through in‐depth interviews of 19 board directors from 14 organizations operating in Australia. Data were analyzed following the six‐phase process of thematic analysis. The findings indicate that board gender and age diversity enhance CSR investment and approach decisions, and, in turn, they improve the CSR performance of organizations. The effectiveness of these relationships depends on the number of women directors, organizational culture, industry regulations, and organizational life‐cycle stage. This study provides insights into the “black box” of boardroom dynamics. The findings suggest that efforts need to be made at the organizational and policy levels to increase board gender and age diversity for a sustainable performance.

Validity of the career embeddedness scale as predictor of affective commitment

Orientation: In times of rapid change, organisations have a dire need for workers who remain psychologically attached and committed to their work for optimal sustainable organisational performance and survival.Research purpose: The aim of the study was to explore the construct validity of the Career Embeddedness Scale (CES) as predictor of individuals’ affective commitment.Motivation for the study: There is a paucity of research regarding the construct validity of the CES and whether it predicts an individual’s affective commitment.Research approach/design and method: The study involved a cross-sectional quantitative survey on a sample of employees in the services industry. The sample consisted of African (South African = 70% and Zimbabwean = 15%) and European (15%) participants (N = 290), with a mean age of 38.58 years.Main findings: Confirmatory factory analysis (CFA) analysis provided evidence of the construct validity of the CES in predicting affective commitment.Practical implications: The use of the CES measure of the degree to which organisational career support conditions fulfil individuals’ psychological career needs potentially provides opportunity for engagement with the organisation and individual on career development issues in response to workplace changes that potentially affect employees’ psychological attachment to the organisation.Contribution/value-add: The study contributed to the career development research literature by providing valuable psychometric information on the CES and its application in the person–environment (P–E) fit theory and work context.

Ethical leadership for better sustainable performance: Role of employee values, behavior and ethical climate

Although the impact of ethical leadership on different aspects of organizational and employee performance is evident, research on the impact of ethical leadership on sustainable performance is still limited. Considering the scant research in this area, this study investigates the impact of ethical leadership on sustainable business performance through the mediating roles of ethical climate and voluntary environmental behavior, and the moderating role of employees' biospheric values. The study data were collected from 327 mid-level managerial employees from a cross-sectional industry in Bangladesh. The empirical evidence revealed a significant influence of ethical leadership on employees' voluntary environmental behavior, which subsequently impacted the sustainable performance of business organizations. It further identified the moderating role of employees’ biospheric values and the mediating role of the ethical climate in the hypothesized relationship. The findings provide significant theoretical contributions and practical implications in the area of both ethical leadership and sustainable performance.

The impact of sustainability strategic planning and management on the organizational sustainable performance: A developing-country perspective

The purpose of this article is to comprehensively describe the impact of sustainability strategic planning and management (SSPM) on organisational sustainable performance in a developing country context. A mixed method approach was adopted; data were collected using an interview and a survey targeting 126 organisations operating in the foremost polluting Palestinian manufacturing private sectors. The analyses were conducted employing thematic analysis and Partial Least Squares Structural Equation Modelling (PLS-SEM). The results from data analysis confirm that SSPM had a positive effect on the three dimensions of organisational sustainable performance (i.e. social, ecological and economic). Furthermore, the paper has developed a framework to facilitate integrating SSPM into the business model of manufacturing organisations in a developing country context. This paper is considered among the very few studies exploring the ‘questioned’ impacts of SSPM on organisational sustainable performance in a developing country.

Sustainable organisational performance through lean implementation regimen emanating from product innovation factors: a study in Indian context

Sustainable organisational performance through lean implementation regimen emanating from product innovation factors: a study in Indian context

Leveraging Green Innovation Practices for Organizational Sustainable Performance: A Structural Equation Modeling Approach

Manufacturing sector has been the major contributor towards the economic development and the environmental degradation too. This is mainly because of the large scale activities carried out by the organizations in this sector. Organizations are finding it mandatory to adopt green practices in order to bring about sustainability in their performances purely because of the pressures from various stakeholders. This study by using the theoretical lens of RBV, analyzed the role of Green Innovation practices in predicting Environmental, Economic and Social Performance. To find out the answers of the research question, data was collected from 209 listed manufacturing organizations using a survey questionnaire and was analyzed using MPLUS 7.0. Results demonstrated that green innovation practices predicted environmental and economic performance more strongly than the social performance dimension. These findings revealed the significance of green innovation practices in achieving the sustainable performance and unveiled the unknowns on the said relationships while highlighting the important implications for managers, policy makers and future researchers.

What Drives Sustainable Organizational Performance? The Roles of Perceived Organizational Support and Sustainable Organizational Reputation

Sustainable organizational performance (SOP) can differentiate an organization from its rivals. Thus, understanding the antecedents and driving factors of SOP has received wide attention from both the academicians and practitioners in recent years. In line with such attention, this empirical paper endeavored to investigate and identify the relationship between perceived organizational support (POS) and SOP with the mediating effect of sustainable organizational reputation (SOR). Based on 384 survey responses from mid-level managers using a cross-sectional survey design, we followed a deductive approach to test the hypotheses using covariance-based structural equation modeling. Our empirical investigation revealed that POS has a significant positive relationship with SOP as well as with SOR while SOR has a significant positive relationship with SOP. Regarding the mediating effect, we found that SOR can partially mediate the positive relationship between POS and SOP. We strongly believe that the findings revealed from this empirical study may aid interested future researchers in their quest of understanding the inherent relationship between perceived organizational support and sustainable organizational performance in the presence of sustainable organizational reputation. Further, such results may provide a platform for the top-level managers and other policymakers in their efforts to improve and sustain organizational reputation that will ultimately lead to sustainable organizational performance through proper organizational support.

Role of organizational environment in sustained organizational economic performance

PurposeTherefore, this research study investigates the impact of business environment on the performance of the business organizations. (1) To understand the importance the environment in the success of the business entrepreneurship. (2) To explore the environmental factors that can affect the success of business entrepreneurship in Pakistan. (3) To establish relationship between the environmental factors and the sustained organizational performance of business entrepreneurships in Pakistan.Design/methodology/approachDrawing from the person–environment fit (PE fit) and the self-determination theory literature, this survey research study seeks to determine the impact of organizational environment upon sustained organizational economic performance. The main independent variable of the study encompasses its main three dimensions, i.e. leadership capacity, organizational culture and organizational politics. The dependent variable comprises the sustained economic performance of the organization. The research study hypothesized and tested a model in which the organizational environment (organizational culture, organizational politics and leadership) interplays with the organizational sustained performance.FindingsKeeping in view the outcomes of this research work the following implications can be drawn. A leader can yield maximum productivity of employees, if he/she has leadership capacity to provide directions, skilled to minimize the stress level of the employees and able to motivate them in achieving organizational goals. Therefore, capacity of leader to handle difficult situations and develop PE fit is the key to organizational success in current scenario. The study also revealed a positive effect of organizational culture on organizational performance. The culture of the organizations provides an environment of openness to think, share and contribute toward goals of the organization. It enables employees to express themselves, develop person-organization common goals with self-determination. The PE fit provides a platform to feel free, express their feelings and opinions, and contribute in the decision-making process of organizations. The involvement in organizational activities provide a sense of responsibility, ownership and motivation to produce better results for the organizations.Originality/valuePE fit perspective postulates that matching individual psychological needs and environmental supplies (provided by organization and society) generates positive attitudes and behaviors (Tepper et al., 2018). The effect between individuals and their environment is inherently reciprocal rather than a one-way effect (Goetz et al., 2021). The fundamental postulation support that the fit certainly improves performance, commitment and satisfaction of individuals in the context of organizations (De Cooman et al., 2019; Rau vola et al., 2020). Moreover, self-determination theory (SDT) is another perspective that emphasizes the attainment of autonomy, competence and relatedness in employees to outperform (Deci and Ryan, (2010). The self-determination theory revolves around the social-contextual conditions that support or obstruct the integral courses of self-motivation and psychological development, which will contribute toward organizational performance (Nazir et al., 2021).

Entrepreneurial Leadership and Sustainable Development—A Systematic Literature Review

The main aim of this study was to clarify the current literary inconsistencies regarding the characteristics of entrepreneurial leadership and its impact on sustainability. Additionally, another aim was to establish the framework of entrepreneurial leadership and to highlight the main gaps in the entrepreneurial leadership literature. The entrepreneurial leadership literature started to develop recently as a new leadership style that is required to fulfill the current business changes in the fourth industrial revolution. The researchers conducted a narrative literature review to assess the status of entrepreneurial leadership in academia, literature gaps, and the impact of entrepreneurial leadership on the sustainability performance of organizations. Furthermore, the researchers main aim was to investigate the following research question: is entrepreneurial leadership a fixed or a multidimensional concept that differs based on industry, context, and firm size? Regarding the answer to this question, the current study found that entrepreneurial leadership is a multidimensional concept as it is reflected in different perspectives, which indicates the inconsistency of the characteristics of entrepreneurial leadership claimed in the literature. Research limitations—the current study focused on assessing the literature review status of entrepreneurial leadership. Based on that, this study’s limitation is represented in not focusing on testing entrepreneurial leadership’s impact on sustainability either quantitatively or qualitatively. On the contrary, it contributed by analyzing the status of the entrepreneurial leadership literature. Future studies need to further assess this relationship between both concepts and reach an agreement about the common characteristics of entrepreneurial leadership. Originality/value—the current study contributes to the entrepreneurial leadership literature as it highlighted the existing gaps and the inconsistency in the literature. Additionally, it contributed theoretically by connecting entrepreneurial leadership to the existing literature. Furthermore, empirically, it highlighted the contribution of entrepreneurial leadership by emphasizing the impact of it on organizational sustainable development performance. This study represents a call for scholars to focus more on entrepreneurial leadership given its contribution to organizational performance.

Impact of Industry 4.0 and Lean Manufacturing on the Sustainability Performance of Plastic and Petrochemical Organizations in Saudi Arabia

Plastic and petrochemical industries are lagging behind in terms of environmental sustainability performance because of the nature of these industries. Although plastic and petrochemical industries have adopted lean manufacturing and/or Industry 4.0 technologies, more efforts are needed to enhance sustainable development. The purpose of this study is to explore the integrated impact of Industry 4.0 technologies and lean manufacturing on the sustainability performance of plastic and petrochemical industries in Saudi Arabia. Moreover, it investigates the casual relationship between Industry 4.0 technologies and sustainability performance as well as the direct linkage between Industry 4.0 and lean manufacturing. A questionnaire is used as the primary instrument for collecting data from 112 plastic and petrochemical organizations. A hypothesized relationship is formulated and then analyzed using the structural equation modeling (SEM) approach. The outcome of the analysis shows that Industry 4.0 and lean manufacturing have a positive impact on sustainability performance. The study also presents a list of valid constructs for Industry 4.0 technologies, lean manufacturing, and sustainability performance. Furthermore, the study shows that the plastic and petrochemical industries in Saudi Arabia acknowledge and recognize the contribution of Industry 4.0 technologies and lean manufacturing principles to the protection of the environment as a dimension of sustainability performance.

Green Supply Chain Management practices and impact on firm performance: The moderating effect of collaborative capability

The environmental effects of supply chain operations are under the significant influence of Green Supply Chain Management (GSCM), with a potential enhancement of organizational sustainability performance. Even though previous studies have pointed to the contribution of integration of various activities associated with GSCM, no investigations have been carried out for the possible interdependencies of these activities and their application effects. Consequently, this paper aims at investigating the associations of GSCM methods and performance of manufacturing firms using the Natural Resource-Based View (NRBV) as well as Institutional Theory. The collected data from manufacturing firms were analyzed using the partial least squares technique. Accordingly, mimetic, normative, and coercive pressures were found to affect GSCM positively and significantly. Moreover, the GSCM and the firms’ environmental, operational and economic performances were found to be positively and significantly associated. In addition, according to the moderation analysis, collaborative capabilities had significant moderating effects on the association of green chain management and environmental as well as economic performance. However, collaborative capabilities could not moderate the association of GSCM and operational performance. Managers, supply chain specialists and also policy makers would benefit from the findings of the present study along with the inspirations resulting from the contribution of specific drivers in implementing GSCM methods, while application of the mentioned methods could be effective in achieving the desired performance levels. Furthermore, industrial sectors are provided with managerial and theoretical insights by the results obtained in the present paper to concentrate on environmental awareness through the adoption of GSCM methods.

Talent management practices and sustainable organizational performance in cement industry

Purpose: This paper aims to explore the composition of “OrganizationPerformance” for employees in Cement Industry of Rayalaseema Region.Research Methodology: The paper applies analyzing data using Reliability Test, Confirmatory Factor Analysis (CFA) and Multiple Linear Regression on a sample of 286 respondents and reduces a set of 24 variables into a list of six attributes talent management practices.Finding: The present study proposes a model of the impact of attributes talent management practices on the organizational performance.Implication: The study found that talent acquisition & retention, performance management, learning & motivating, compensation,career development and succession planning are impacting significantly the organizational performance. Therefore, Cement companies should focus on the above factors to provide better talent management practices.

Analyzing the Barriers to Reverse Logistics (RL) Implementation: A Hybrid Model Based on IF-DEMATEL-EDAS

Recently, manufacturing companies aspire to implement reverse logistics in response to stakeholders’ requirements to reduce negative environmental consequences, improve organizational sustainable performance and ultimately increase competitive advantage. However, implementing reverse logistics can be impeded by a criteria framework, and necessitates the careful analysis of how such criteria interact with each other in the presence of uncertainty. Thus, in this study, we propose an integrated multi- criteria decision-making (MCDM) methodology that leverages the Decision Making Trial and Evaluation Laboratory (DEMATEL) under Intuitionistic Fuzzy (IF) environment and Evaluation Based on Distance to Average Solution (EDAS). Within the proposed methodology, firstly, the IF-DEMATEL is applied to obtain the interrelationships between the criteria/barriers and then, the EDAS method is applied to prioritize the criteria based on the appraisal scores evaluation. An application case within the Nigerian manufacturing sector was utilized to illustrate the viability of the proposed methodology. The study results indicate that the highly prioritized barriers to implementing reverse logistics within the Nigerian manufacturing sector include low product quality, risk of storing hazardous materials and low technical expertise. Consequently, this study makes a profound contribution to the theory and practice of reverse logistics by presenting an integrated MCDM methodology that can effectively address the criticality of barriers in the way of reverse logistics progression in a complex and uncertain scenario.

Special Issue “Audit and Financial Control Tools Aimed at Ensuring the Sustainable Performance of Organizations”

Through this editorial, the author aims to present the main landmarks related to the scientific contributions that can be found in the special issue dedicated to the topic “Audit and Financial Control Tools Aimed at Ensuring the Sustainable Performance of Organizations” [...]

The Impact of Environmental Knowledge and Awareness on Sustainability Performance of Organizations: The Mediating Role of Employee Green Behaviour

This study examined the impact of environmental knowledge & awareness of employees on sustainability performance of organization among 173 commercial bank employees in Batticaloa Region of Sri Lanka. It explored environmental knowledge & awareness of employees associated with employee green behaviour and the possible mediating role of employee green behaviour between environmental knowledge & awareness and sustainability performance of organization. Multiple regression analysis demonstrated that the environmental knowledge & awareness of employees were significantly associated with green behaviour among the employees of surveyed banks. It was also established that the association of environmental knowledge & awareness of employees and sustainability performance of the bank is partially mediated by employee green behaviour. This study contributes to fill out the research gaps exist in the area of study to some extent and offers practical implications for the managers of banks to establish efficient and constructive mechanisms and encourage the bank’s staff to implement environmental policies into actions.

Influencing Mechanism of Green Human Resource Management and Corporate Social Responsibility on Organizational Sustainable Performance

Sustainable organizational achievement of firms is the dominant approach in today’s world, with an inclination on improving profitability, social condition, and a healthy environment. Based on ability, motivation, opportunity (AMO), and stakeholder theories, this study explored the green human resource management (GHRM) and corporate social responsibility (CSR) mechanism towards sustainable performance achievement. A structured questionnaire survey from 305 samples was appropriate for the quantitative study on this research. Moreover, widely used structural equation modeling and analysis of moment structures (AMOS) was used to analyze the proposed structural model of the study. Findings from the study added significance to all posited hypotheses and validated the study model. The current study added literature to the body of knowledge on green human resource management practices and corporate social responsibility in the pursuit of improved performance towards society, the environment, and sustainability of construction firms. For future studies, the inclusion of industries such as transportation-based industries and manufacturing companies that contribute to development should be considered for broad learning.

Impact of perceived organizational support and green transformational leadership on sustainable organizational performance: a SEM approach

PurposeThe study aims to scrutinize the concomitant associations between corporate social responsibility (CSR), perceived organizational support (POS), green transformational leadership (GTL) and organizational performance (OP). This paper aims to explore the role of intervening variable to measure the strength on the relationship between CSR and OP.Design/methodology/approachThis research administered a survey through self-administered questionnaire among the staff-level employees of construction companies of Nepal. Fully filled 305 responses from the participants were analyzed using a structural equation model. The study used self-structured questionnaire as research tool and face-to-face meetings as data collection technique.FindingsThe research indicates that POS showed competitive partial mediation relation between CSR and OP. Besides, a novel exploration of the moderation effect of GTL displays a supportive role in harmonizing the CSR with organizational support to achieve better OP. This study enriches empirical evidence to understand the linkage between CSR and POS in staff-level employees in the construction area. Moreover, the research shed a light on GTL 's moderating influence on the mediated model of CSR, POS and OP.Research limitations/implicationsAlthough the results of the study add to the current knowledge base, several limitations highlight avenues for future research. Future studies can explore the relationship in other study areas with added evidence on a similar result with different analysis patterns and study sample. The research model studied in the context of Nepal creating evidence as a representation for the developing countries.Originality/valueThe intervening role of POS and GTL gives new insight for the research-based organization based social behavior and performance

Impact of Management by Objectives in Enhancing Sustainable Organisational Performance in Hotels

This study analysed the contribution of MBO in enhancing sustainable organisational performance. Previous studies have revealed that MBO contributes to enhancing the profitability of hotels, increasing the performance of employees, improving the effectiveness of operating processes and enhancing the service provided within hotels. The study was conducted via a questionnaire method. Separate questionnaires were administered to managers and employees of 5 star hotels. The data were analysed using the Statistical Analysis for Social Sciences (SPSS, version 25). The results indicated that hotel managers are in favour of the application of MBO as it contributes towards the achievement of their personal goals as well as the goals of the hotel. The employees also showed a willingness towards implementing MBO thanks to its advantages that assist in enhancing sustainable organisational objectives. The study recommends the activation of the MBO in hotels owing to its contribution towards enhancing the performance, achieving the targeted profitability and enhancing the sustainability of organisations.