No full-text available
To read the full-text of this research,
you can request a copy directly from the authors.
Do firms get what they want from ISO 14001 adoption?: An Australian perspective
Abstract
There is an increasing growth of customers and regulators requesting enterprises to adopt the ISO 14001 environmental management standard over the last 15 years. Yet, any evidence for consistent environmental, market, and social benefits has been widely debated, which in turn, might be partly linked to the underlying organizational motives for environmental management system adoption. Based on the Institutional Theory and the Natural Resource-based view, this study examines the relationship of two different organizational adoption motives (i.e., internal and external) with triple bottom line perceived benefits (i.e., environmental, social, and market) on the adoption of ISO 14001. Using empirical data collected from a large-scale survey of Australian firms, we found that the motivation for environmental management system adoption was aligned closely with the types of benefits that accrued. The results indicate that external motives enhance social and market positioning, whereas internal motives better serve environmental benefits. Thus, managers may be seeking only a narrowly bounded set of outcomes from ISO 14001, rather than broader strategic improvement. The results also show the environmental benefits of adopting ISO 14001 to improve both the social and market benefits of the adopter enterprises. Practically, environmental benefits should be realized before firms can expect to reap social and market benefits from the environmental management system adoption. Our investigation on multiple motivations for organizational adoption of a voluntary standard provides important theoretical and practical insights on which organizational environmental management system adoption motives are conducive to fostering a broader set of strategic benefits.
... Many companies have decided to adopt some form of EMS, including GHG Protocol Tools, to address concerns about environmental sustainability [2]. This trend has significantly aroused attention towards ecological preservation by enterprises as voluntary actions to showcase their corporate social responsibility [3]. A GHG Protocol is a firm's most widely used tool to understand, quantify, and manage GHG emissions. ...
... The motivations for GHG Protocol Tool adoption should follow similar ones ascribed to environmental or green information or management systems' adoption in prior research. These include reduced pollution, energy, and material consumption; the avoidance of environmental risks, accidents, and hazards [3,24]; the plausible improvement of environmental performance [25,26]; and overall ecological commitments, responsibilities, and credibility [27]. With environmental considerations, companies intend to do the right thing for the environment [28] and thus should aspire to achieve ecological benefits [29]. ...
... The benefits also include assisting management in dealing with environmental issues, reducing disputes with the public on ecological pollution [7], establishing eco-effectiveness, and, more specifically [31], reducing the GHG emissions [1]. Along with this, prior research has also substantiated the direct benefits of such systems, such as an increase in profits [9] and business benefits or performance [3,32]. ...
Mitigating the greenhouse gas (GHG) emission problem is one efficient way to respond to climate change challenges. Firms must proactively manage GHG emissions, with increasing pressure from various stakeholders to be environmentally responsible. GHG Protocol Tools help in managing GHG emissions. However, besides responsibility, the factors that influence the adoption and implementation of GHG Protocol Tools is sparsely investigated in empirical research, although studies point to different benefits and pressures influencing adoption. This study examines the factors affecting GHG Protocol Tool usage in organizations in China and South Korea. We consider two contrasting perspectives, affordance-based perceived benefits and constraint-based perceived pressures through imitating others, for GHG Protocol Tool adoption. Survey data from samples of firms from both countries are used for analysis. Results of empirical analyses indicate that perceived benefits and pressures have a positive relationship with the usage intention of GHG Protocol Tools. In comparison, the perceived benefits play a more critical role than the perceived pressures. Comparative analysis is conducted to explore the differences between Chinese and Korean firms, and study implications are discussed.
... At the same time, theoretical analyses imply quite a large potential utility of these systems for insurance purposes and their relatively straightforward 6 Research shows that the impact of EMSs implementation remains significantly dependent on the system implementation motivators. Environmental impact is inferior when obligatory extrinsic motivators dominate (Gavronski, Paiva, Teixeira, & de Andrade, 2013;Castka & Prajogo, 2013;Prajogo, Tang, & Lai, 2012). The obligation can be classified according to various criteria: according to the factual condition that it refers to, according to its origin, as well as the consequences of the lack of its realisation. ...
... The limited number of studies which concerned the above were devoted to the assessment of the relation between positive environmental impact and the attributes such as the size of the organisation, its ownership (private/ public), sector (manufacturing/service), stability/changeability of the applied technologies, amount of time for which the system has been in operation in a given organisation, possession of quality management system in conformity with ISO 9001, or finally, the external/internal motivation for the system implementation (Matuszak-Flejszman, 2010;Prajogo, Tang & Lai, 2012;Boiral & Henri, 2012;Christmann & Taylor, 2006;Fura, 2013;Castka & Prajogo, 2013;Gavronski et al., 2013). ...
... The literature divides the motives for implementing EMS ISO 14001 into internal and external (Matuszak-Flejszman, 2007;Prajogo, Tang, & Lai, 2012;Boiral & Henri, 2012;Christmann & Taylor, 2006). Internal motives result from the organisation's own need to manage environmental aspects derived from environmental awareness, including awareness of environmental risks. ...
The first purpose of the research was to assess the dependence between the organisational decision-makers willingness to implement systemic solutions relevant to insurance (RSSs) and the attributes (systemic, awareness-related and organisational) of an organisation managed in accordance with ISO 14001. Another purpose was to identify the motivators that drive entities to implement additional system elements.Earlier studies suggest that the structures of currently implemented ISO 14001 EMSs should be modified in order to increase their utility for the process of insurance provision. The research problem was solved based on data obtained through an online survey among organisations implementing and certified ISO 14001 EMSs in Poland. Depending on the type of variables, the independence chi-square test, U-Mann-Whitney test, and the test of Spearman’s rank correlation, among others, were used for analysis. The results of the study may help build integrated environmental risk management tools. They indicate the legitimacy of using non-insurance motivators (e.g. reduction of environmental fees) to achieve the desired EMS structure in the organisation from the insurers' point of view. At the same time, they emphasise the need to build environmental risk awareness (including, among other things, the risk of liability for environmental damage and its severity) to achieve the above.
... Overall, according to the authors' best knowledge, the majority of the available empirical studies that have been conducted so far, conclude that businesses which comply with environmental standards, obtain competitive advantage in the marketplace (Biondi et al., 2000;Halkos and Evangelinos, 2002;Abeliotis, 2006;Ann et al., 2006;Zhang et al., 2008;Matuszak-Flejszman, 2009;Psomas et al., 2011;Prajogo et al., 2012;Singh et al., 2015;Mazzi et al., 2016;Iatridis and Kesidou, 2018;Famiyeh et al., 2020). Biondi et al. (2000) proved that the willingness of businesses to obtain competitive advantage is an important perceived benefit to acquire EMS certification. ...
... As Matuszak-Flejszman (2009) noticed, raising the attractiveness of their company through the adoption of a corporate environmental management was an opportunity for the company not only in maintaining the gained trust of previous customers and investors but also to attract new ones. Pressure from stakeholders (customers, suppliers, competitors and communities) to improve corporate environmental management performance was observed to be an important motive to obtain an ISO standard (Gonzalez et al., 2008;Zhang et al., 2008;Prajogo et al., 2012;Singh et al., 2015;Mazzi et al., 2016). Emprical evidence from Australian (Prajogo et al., 2012), Chinese (Zhang et al., 2008) and Indian firms (Singh et al., 2015) confirmed that firms were motivated to adopt environmental standards to obtain legitimacy from their stakeholders and improve their corporate image. ...
... Pressure from stakeholders (customers, suppliers, competitors and communities) to improve corporate environmental management performance was observed to be an important motive to obtain an ISO standard (Gonzalez et al., 2008;Zhang et al., 2008;Prajogo et al., 2012;Singh et al., 2015;Mazzi et al., 2016). Emprical evidence from Australian (Prajogo et al., 2012), Chinese (Zhang et al., 2008) and Indian firms (Singh et al., 2015) confirmed that firms were motivated to adopt environmental standards to obtain legitimacy from their stakeholders and improve their corporate image. Results showed that EMS certification was a marketing strategy that firms adopted to gain competitiveness through publicising their environmental certification (Zhang et al., 2008;Prajogo et al., 2012;Singh et al., 2015;Mazzi et al., 2016). ...
... According to DiMaggio & Powell (1983) institutional pressures affect differently the early adopters (first movers and innovators) and late initiators (followers) of management practices. Early adopters of practices are affected significantly by NP and seek to enhance their efficiency and gains internally through the initiatives that they launch and become part of their strategy to satisfy societal expectations (Iatridis et al., 2016;Prajogo et al., 2012). This is the case of the adoption of SHP based on norms and certifications (OHSAS 180001) that firms use to improve their reputation and thus affect positively their performance (Prajogo et al., 2012;Yang et al., 2021). ...
... Early adopters of practices are affected significantly by NP and seek to enhance their efficiency and gains internally through the initiatives that they launch and become part of their strategy to satisfy societal expectations (Iatridis et al., 2016;Prajogo et al., 2012). This is the case of the adoption of SHP based on norms and certifications (OHSAS 180001) that firms use to improve their reputation and thus affect positively their performance (Prajogo et al., 2012;Yang et al., 2021). ...
his research studies the impact of normative pressure (NP) on safety and health practices (SHP) and the influence of the latter on social performance (SP) and supply chain resilience (SCR) under the moderating role of adoption timing of SHP following COVID-19 outbreak. The theoretical background of this research is anchored in a social-ecological perspective of SCR and draws on the novel combination of stakeholders’ resources-based view (SRBV) and institutional pressure theories. The findings of the empirical study using structural equation modeling analysis indicate that NP influences positively and significantly SHP. Also, a positive and significant impact of SHP on both of SCR and SP is revealed. This study provides several insights by highlighting how firms adopting social sustainability practices such as SHP can build stronger resilience to various threats of disruptive events while improving their SP. Such positive outcomes can be achieved by implementing safety protocols, ensuring health monitoring and communication, and establishing contingency plans based on stakeholders’ requirements in a timely manner.
... The paper also complements the demographic-based upper echelons theory [43] by establishing a Zhong-yong leadership model, thereby enabling the development of Chinese management theory [85]. The paper expands leadership theories focusing mainly on Western contexts [86] by introducing local Chinese characteristics [87]. Based on the Eastern social and cultural context, the blend of China and the West has led to a collision of Eastern and Western management thinking [88,89]. ...
... Lastly, the study adds to the existing literature by examining the moderating roles of institutional pressure and firm ownership structure on the relationship between leaders' Zhong-yong thinking and green innovation. Previous research has emphasized the importance of external factors, such as institutional constraints and environmental regulations, on firms' innovation decisions [86,87]. In this paper, we explore the boundary role of institutional pressure on green innovation from two dimensions of institutional pressure, namely, coercive pressure and normative pressure. ...
Zhong-yong thinking, a typical value orientation and mode of thought in traditional Chinese culture, has garnered significant scholarly attention. Various cross-sectional studies have explored the relationship between Zhong-yong thinking and innovation; yet, research specifically examining the impact of Zhong-yong thinking on green innovation is scarce. This study adopts the upper echelons theory and theory of manager cognition to investigate the influence of entrepreneurs’ Zhong-yong thinking on green innovation while simultaneously considering institutional pressure and enterprise ownership types as boundary conditions. By analyzing 302 questionnaire responses, the empirical results demonstrate a direct positive effect of Zhong-yong thinking on green innovation. Moreover, institutional pressure positively moderates the relationship between Zhong-yong thinking and green innovation. State-owned enterprises exhibit a more significant impact of Zhong-yong thinking on green innovation than non-SOEs. Overall, this study contributes to the theoretical research of Zhong-yong in management disciplines, particularly in the green innovation literature. Its findings also hold implications for the practice of green innovation in enterprises.
... When banks embrace Green Banking, mimetic forces encourage them to follow their competitors' active adoption paths. This allows them to take advantage of previously untapped business opportunities and achieve market advantages (Prajogo et al., 2012). Based on the logic of the preceding arguments, it is hypothesized that: H 2 : The Competitor Pressure will have a positive influence on green banking adoption. ...
... Therefore, a mimetic pressure from the competitive market; competitor's green banking practices is another important reason in adopting green banking practice in Bangladesh. The findings of this research are consistent with Prajogo et al., (2012). They showed that when banks embrace Green Banking, mimetic forces encourage them to follow their competitors' active adoption paths. ...
Purpose: The aim of this paper is to assess the environmental factors’ influence on the green banking adoption in Bangladesh. Design/methodology/approach: This study is an empirical attempt to prove the cause and effect relationship for the hypotheses developed from a conceptual framework for which it has used both descriptive, as well as quantitative research. The survey unit of the analysis administered a simple random sampling technique over 323 respondents by using a structured questionnaire. Findings: The study identified that the customer pressure, the competitor pressure and the community pressure are the salient environmental factors which have a positive influence on green banking adoption in Bangladesh. Practical implications: The study may have significant implications providing the bank management with better understanding of the environmental factors and also the influence of it to find out appropriate strategies required to green banking practice. Research limitations: The research is mostly based on primary data focused only the customers of commercial banks as respondents ignoring managerial samples across the banks. Originality/value: To the best of the author’s knowledge, this study is one of the earliest initiatives to explore the environmental factors and its influence behind the adoption of green banking practices in Bangladesh.
... The institutional theory considers institutional pressures to have three dimensions, i.e., coercive pressure, mimetic pressure, and normative pressure (Chen et al., 2018;DiMaggio & Powell, 1983). Coercive pressure is exerted by government regulations (Prajogo et al., 2012), mimetic pressure is generated by peer competition (Daddi et al., 2016), and normative pressure is exerted by industry norms (Yang, 2018). These three types of institutional pressures are generally considered to promote the environmental management performance of construction projects to varying degrees. ...
... Institutional theory, which is widely used in the field of environmental management (Yang, 2018), divides the institutional pressure into three dimensions, i.e., coercive pressure, mimetic pressure, and normative pressure. Coercive pressure is mainly derived from the laws and regulations formulated by government agencies (Prajogo et al., 2012), which provide a code of conduct that incentivizes the informal and conscious behaviors of individuals (Lo et al., 2012). Mimetic pressure is the internal or psychological pressure perceived in response to the behavior of one's competitors (Daddi et al., 2016;Fini & Toschi, 2016). ...
Construction projects have been frequently criticized for their ineffective environmental management during the process of urban renewal and development. Currently, there is a huge challenge for decision-makers to improve environmental management performance using institutional pressures (i.e., coercive, mimetic, and normative pressures). However, the mechanism through which institutional pressures and their interactions shape environmental management performance is still not well understood. This study develops an agent-based simulation model using real-world data to conduct policy simulations based on the impact of different combinations of institutional pressures. The real-world data composed of agent characteristics are obtained through questionnaires. The results of model validation and policy simulation are shown as follows: (1) when all three types of institutional pressures are at a high level, the environmental management performance remains at an unexpectedly low level; (2) a higher probability and degree of government interventions are associated with a stronger environmental promotion effect; (3) when both the adjusting probability and degree of intervention reach a certain threshold, the promotion effect does not change significantly. The results identify the effective threshold of government intervention and provide novel strategic implications for the coordination of three types of institutional pressures in facilitating sustainable development. These findings contribute to the environmental management literature not only by expanding the understanding of how institutional pressures shape environmental management performance but also by assisting policymakers in developing and aligning environmental regulations or standards as better policy tools.
... These two key factors, QMPs and environmental practices management (EMPs), have aroused significant research interest because they have been recognized as factors that have a positive influence on company competitiveness Llach et al., 2013;Prajogo et al., 2012;Sun et al., 2009). To this effect, it is certain that QMPs significantly benefit the promotion and development of EMPs (Yang and Kang, 2019). ...
... According to the RBV, the factors QMPs and EMPs are considered internal resources that provide firms with combined competitive advantages, which explains why they have captured the attention of researchers (Prajogo et al., 2012;Sun et al., 2009). The relationship between the two resources has been studied from different perspectives. ...
Interest in sustainability and service quality practices in hospitality is increasing in professional and academic communities. Most of the existing literature about hotel companies is focused on a single practice at a time and does not combine service quality and environmental practices in the same study. Drawing upon the resource-based view theory of the firm, this study investigates the effects of service quality and environmental practices on the competitiveness and financial performance of hotels. The research population consisted of 148 hotel managers from Catalonia. The impacts between the dimensions were analysed using structural equation modelling. The investigation revealed that there is a positive impact on the financial performance and competitiveness of the hotels that have adopted these practices. A correlation between service quality and environmental practices was also demonstrated. The implications and recommendations stemming from the research are exposed.
... ANOVAs were significant, implying that there were significant differences in EM01, EM03, EM04, EI03, EI04, and EI06 among sectors. These results are in line with the opinions calling for a positive impact of ISO 14001 adoption on EM01 [6,7,33], a positive impact of EM03 [11,12], a positive impact of EM04 [14], and disagree with the opinions calling for no impact mentioned by [12,13] regarding EM04. We can conclude from the conflict of opinions regarding EM04 that organizations, in general, find ISO 14001's adoption as an additional administrative burden on employees due to the use of an environmental documentation system in addition to the traditional administrative documentation system used in it, but our results confirm that applying the standard increases the ability of organizations to control its documents, especially those concerned with environmental management. ...
... To reduce the documentation effort, we propose combining ISO 9001:2015, ISO 14001:2015, and ISO 45001:2018 in one standard concerning quality, environment, and safety management in organizations. Our results are consistent with many studies supporting a positive impact between EM03 and adoption of the standard as [6,10,23] and conflicts with no impact opinions concluded by [7,11,19]. This conflict in results may be explained by the differences that may exist in the implementation of the ISO 14001 system among organizations. ...
The most frequent drawback of ISO 14001 observed in existing studies relates to the cost of certification and implementation process. This drawback requires scaling the benefits of adopting the standard to assign organizations limited resources based on each benefit scale. This paper reports the first research results that scale the benefits of adopting the standard. A quantitative method was adopted, where data were collected using a questionnaire survey. A total of 120 respondents were recruited from organizations operating in six industrial sectors to take part in the study. MANOVA and discriminant analysis methodologies were used to analyze the 14 most cited benefits in the literature on adopting the standard. A novel feature of our approach is the comprehensive statistical analysis of the collected data, which yields robust results due to assumption satisfaction. The results demonstrated that the mean vector of the benefits was not equal per each sector. Environmental management and indicator dimensions can discriminate sectors more than the environmental awareness dimension. This study provides insights into the necessity of assessing the benefits of ISO 14001 adaptation that helps organizations allocate their limited resources optimally and support the listing of standard key performance indicators in ISO 14001. In addition, it calls for combining ISO 9001:2015, ISO 14001:2015, and ISO 45001:2018 in one standard.
... On the other hand, management systems like quality management define priorities that enhance innovation performance (Bourke and Roper, 2017;Perdomo-Ortiz et al., 2009). Standardisation also incentivises the creation and dissemination of knowledge, as well as behavioural changes (Prajogo et al., 2012). The concept of TT is multifaceted, encompassing various temporal dimensions and involving diverse stakeholders such as governments, industries and research sectors, often formalised through a range of formal or informal agreements (Urban et al., 2015). ...
This paper highlights the significance of centralising innovation within organisations to gain a competitive edge in a rapidly changing world. It emphasises the pivotal role of ISO 56002, a standardised innovation management system, in fostering innovation capacity through diffusion, certification and development. By establishing innovation standards, organisations can consistently generate successful innovations, leveraging their resources and knowledge capital. However, technology transfer faces trust and inter-organisational cooperation barriers. ISO 56002 provides comprehensive guidelines to overcome these challenges and bridge standardisation and innovation perspectives. The proposed framework integrates technology transfer with the ISO 56002 system, consisting of five phases: engagement in innovation processes, certification of technology transferors, overcoming barriers, technology transfer agreements and analysing effectiveness. ISO 56002 facilitates collaboration, resource allocation, strategic planning and adopts a customer-centric approach. This framework fills a literature gap, offering organisations a competitive advantage in technology transfer. The study explores the relationship between ISO 56002 guidelines and technology transfer, emphasising collaboration, leadership, planning, support, operation, performance evaluation and improvement. ISO 56002 aligns with various aspects of technology transfer, emphasising sustainability, connectivity and competitiveness. Implementing ISO 56002 drives organisational growth and successful technology transfer.
... Institutional pressure [119,120] is a multifaceted concept that encompasses various dimensions, such as coercive pressure, normative pressure, and mimetic pressure [120,121]. Coercive pressure arises from regulations established by government agencies [122]. Research suggests the need to clarify and promote specific management and policy approaches for ecological innovation [54]. ...
Although the adoption of green innovation has been explored in various contexts, there is still a lack of research on the determinants of green technology innovation adoption (GTIA) in the third-party logistics (3PL) industry of emerging economies and the resulting economic, environmental, operational, and intangible outcomes. This study aims to investigate the influence of different determinants of technological, organizational, and environmental factors in the TOE-DOI framework on the adoption of green technology innovation, as well as the outcomes of such adoption. The study utilizes sample data from 544 Chinese 3PL firms and employs two-stage structural equation modeling and artificial neural network analysis. Partial least squares structural equation modeling (PLS-SEM) explains 85.4% of the variance in green technology innovation adoption, 21% in environmental outcomes, 18.5% in economic outcomes, 20.8% in operational outcomes, and 22.3% in intangible outcomes. The artificial neural network (ANN) model ranks the standardized importance of each predictive variable. The results indicate that institutional pressure is the most significant determinant of GTIA. Additionally, 3PL firms should consider the positive impact of green supplier integration and relative advantage. Complexity does not have a positive impact on GTIA. The longer a company has been established, the more experience and resources it accumulates, and the more opportunities it has to adopt green technology innovation. This study contributes to the existing research on emerging economies and other regions. Furthermore, this is the first study to successfully validate the nonlinear relationship within the Technology-Organization-Environment (TOE) framework and diffusion of innovation (DOI) theory, namely the TOE-DOI framework. The research findings further enhance the current understanding of green technology innovation adoption and its impact. This study provides valuable insights for managers and policymakers in the 3PL industry to achieve various effects, such as environmental, economic, operational, and intangible outcomes.
... The current literature on environmental self-regulation primarily focuses on the driving forces of implementing self-regulation behaviors and its outcomes. Regarding the driving forces, the earlier studies primarily explained it from the perspective of traditional economics, which considers profit maximization as the firm's overall target (Prajago et al., 2012). They argued that the implementation of voluntary environmental actions requires continuous resource consumption and capital investment, which may not be offset by the benefits emanating from these actions in return (Khanna et al., 2007). ...
ISO14001 certification, as an innovative environmental self-regulation, has been widely utilized to facilitate relevant firms to implement low-carbon technologies and mitigate environmental impacts. Although ISO14001 certification has gained much attention from researchers and practitioners, its firm-level impact is underexplored. Given that, building on stakeholder theory and resource dependence theory, this study develops a theoretical framework to explain the relationship between ISO14001 certification and firms’ resource acquisition. The roles of ownership types, ISO9001 certification, and industry competition are then investigated. With a sample of Chinese listed firms from 2006 to 2018, we track their use of ISO14001 certification and then employ a fixed-effect model to conduct the empirical analysis. To address endogeneity bias, we further utilize the propensity score matching method on the empirical model. The empirical results demonstrate that ISO14001 certification has a significant and positive effect on firms’ resource acquisition including government subsidy, bank credit, and client relationship. The results also indicate that the positive association between ISO14001 certification and government subsidy is stronger in nonstate-owned enterprises than that in state-owned enterprises. Moreover, ISO9001 certification is conducive to weakening the positive association between ISO14001 certification and both government subsidy and client relationship. In addition, industry competition enhances the impacts of ISO14001 certification on the three aspects of firms’ resource acquisition. This study provides a deeper understanding of the firms’ motivations to implement environmental self-regulation from the perspective of resource acquisition and exchange based upon stakeholder theory, as well as offering practical implications for firms’ implementation of ISO14001 certification to complement traditional regulatory instruments.
... Such motivations include the background reasons that induce decision-makers to introduce a given system and seek its certification (Gavronski et al., 2008). These reasons are aligned with the type of benefits or advantages that firms expect to gain (Prajogo et al., 2012), which may involve competitiveness, legitimacy, or responsibility (González-Benito & González-Benito, 2006). Firms generally differ in their motivations; nevertheless, there will always be a dominant one that underpins their strategic decisions. ...
... The ISO14001 standard serves as a management tool and process standard rather than a performance standard. Consequently, specific studies have posited that the ISO14001 standard exerts a neutral influence on the environment (Prajogo et al., 2012) or, in some cases, may yield adverse effects (Zobel, 2013). ...
... Implementing ISO 14001 can enhance both social and market benefits, but environmental advantages must be achieved first. (Prajogo et al., 2012) Based on 40 research this paper had collected, implementing ISO 14001 was not a difficult task. ...
... This growing social concern causes changes in the environment surrounding the company, requiring significant actions in its production and management practices (Bansal & Roth, 2000). Environmental sustainability becomes a goal for many of them (Huppes & Isikawa, 2007;Prajogo, Tang, & Lai, 2012). ...
The need to integrate competences aligned with the Sustainable Development Goals (SDGs) into higher education curricula has gained considerable attention in recent years. While the literature shows an increase in research on this topic, there remains a scarcity of papers addressing effective strategies to foster students' environmental sustainability competencies and skills, through active pedagogical methods. A promising avenue to achieve this goal is the adoption of the Flipped Classroom methodology. This approach has proven its ability to guide students towards reflection and critical thinking, making it a good tool for promoting sustainability awareness. An experience of educational innovation is presented that develops SDG 12 "Guarantee sustainable consumption and production patterns", and SDG 9 "Industry, innovation and infrastructures", in the subject Production Management, with the aim of achieving the competence "environmental awareness". From the perspective of the students, an evaluation of the educational experience is presented. The results show the success of the Flipped Classroom methodology in providing students with a holistic understanding of the principles of sustainable development and their application through the SDGs within their academic trajectory. In particular, this approach provides them with the skills and aptitudes to promote sustainability.
... Estas normas están en la cotidianidad del desarrollo de las operaciones empresariales y en las dinámicas propias del mercado. Como norma ante sala a la 14001 está la 14000 que se desarrolló con el fin de brindar orientación frente a un enfoque integral de la gestión ambiental estandarizando algunas herramientas de análisis ambiental como el etiquetado y el ciclo de vida del producto (Prajogo et al., 2012). Precisamente la norma ISO 14001 se ha consolidado como un ISO 14001: retos, impactos, desempeño y oportunidades para las organizaciones modelo de gestión ambiental ya que es una herramienta de cometido interno y que se convierte en un mecanismo de exteriorización de legitimidad hacia las partes externas interesadas, justamente la literatura especializada reconoce que la ISO 14001 responde a la urgencia de promover un enfoque preventivo e integrador de las preocupaciones ambientales en el desarrollo de la operaciones de las empresas; esta lógica de integración y prevención que reposa en los sistemas de gestión ambiental no puede reducirse a aspectos técnicos como parte de las funciones de un departamento de gestión ambiental (Boiral, 2007). ...
Las certificaciones ambientales como la ISO 14001 están planteadas como instrumentos que generan evidencias de un cambio en las prácticas de las empresas y organizaciones que buscan disminuir los impactos ambientales negativos y por ende mejorar su desempeño ambiental, empresarial y comercial, para lograr esta certificación las empresas deberán afrontar algunos obstáculos del orden financiero considerando esto una desventaja para algunas Pymes. El propósito de este artículo es evidenciar algunos elementos fundamentales previos, durante y post certificación ISO 14001 los cuales motivan e impulsan la adopción de la misma por parte de las empresas. Esto a través de la revisión de la literatura, para ello se realiza un análisis de red apoyado en técnicas bibliométricas, llegando a la identificación de cuatro clúster, que contienen autores, características y elementos comunes de la NTC ISO 14001 y su certificación. Este artículo se apoya en la consulta de Web of science y se clasifica utilizando la herramienta Mendeley teniendo como criterio para esta clasificación elementos comunes y de esta forma dar paso al análisis de las co-citaciones. Producto de esto se pudo colegir la importancia que tiene para las empresas y organizaciones optar por la certificación como un instrumento de gestión ambiental siento está reconocida por diferentes autores que manifiestan su interés por la NTC ISO 14001 como un factor diferenciador en los mercados y en las dinámicas comerciales y empresariales.
... Nyerere (2009) had observed that, TVET institutions continue to face quality related challenges despite most of them being certified under ISO standards. However, it may be argued that organizations without exception to learning institutions can succeed without ISO 9001 implementation (Benner & Veloso, 2008;Kuo, Wu, & Deng, 2009;Prajogo, Tang, & Lai, 2012 Organizations use the standard to demonstrate the ability to consistently provide products and services that meet customer and regulatory requirements. In this regard it requires a careful and considerate oversight of the individuals who are responsible for making sure the processes and outputs meet the organizations benchmarks. ...
... On the other hand, the tax incentives brought by the environmental protection taxes can relieve financing constraints of enterprises. After ISO14001 certification, enterprises can improve their environmental problems, control pollution sources and reduce pollutant emissions under the guidance of external organizations (Prajogo et al. 2012), which help enterprises continuously receive tax incentives. Therefore, we expect that the more serious the financing constraints of enterprises, the more obvious the positive impact of environmental protection fee-to-tax policy on the ISO14001 certification behavior of enterprises. ...
From the perspective of ISO14001 certification, we explored the impact of environmental protection tax on enterprises’ long-term environmental practice decisions based on the differential-in-difference model. Our results show that environmental protection tax reform can promote enterprise ISO14001 certification behavior. This positive effect comes from increased enforcement intensity and compliance costs. When the external supervision and governance environment of enterprises is better (i.e., higher degree of marketization and media attention), the shock of environmental tax reform on enterprises’ ISO14001 certification behavior is more significant. Heterogeneity analysis found that the promotion of environmental protection fees-to-tax conversion to ISO14001 certification behavior of enterprises is mainly reflected in non-state-owned key enterprises, small-scale enterprises, and high financing constraints enterprises. Economic consequences test shows that environmental tax policy can improve the green innovation of enterprises in the current and subsequent years, but it does not improve the financial performance in the short term. Our study provides supporting evidence to identify whether environmental tax is a long-term mechanism to promote voluntary environmental management by enterprises.
... Such benefits are dependent on the selection and pursuit of goals, the observance of rules (e.g., no omissions), and environmental efficiency (e.g., no waste), and can only be determined after an in-depth investigation (Alberti et al., 2000). It has been determined that major organisational motives for the adoption of EMS include the following: meeting the demands of customers, complying with the requirements of regulatory agencies, seeking cost reduction and efficiency improvement, and searching for competitive advantages (Prajogo et al., 2012;Teng et al., 2018;Treacy et al, 2019). ...
... The ISO14001 standard does not encompass pollution testing methodologies, the establishment of pollution and wastewater thresholds, or the specification of environmental performance levels, thereby allowing companies the discretion to determine their own environmental performance (Zorpas, 2020). Consequently, certain articles have deduced that the ISO14001 standard produces a neutral impact on the environment (Prajogo et al., 2012) or even generates adverse effects (Zobel, 2013). ...
Voluntary environmental regulations play a crucial role in promoting green innovation. However, the existing literature on the subject has yielded inconsistent conclusions. To address this issue, this study utilizes data from China's list companies between 2008 and 2020, employing both the difference-in-differences (DID) and instrumental variable methods to accurately estimate the impact of ISO14001 certification on green innovation. Our findings indicate that ISO14001 certification enhances both the quantity and quality of green innovations. Furthermore, our results remain robust even after implementing the propensity score matching (PSM) method and conducting placebo tests. This paper also excludes heterogeneous treatment effect bias in staggered DID. In addition, the impact of ISO14001 on green innovation is focused on green innovation related to source control. The study also considers the impact of greenwashing and ownership on the relationship between ISO14001 certification and green innovation. Greenwashing is found to have a negative impact on green innovation, especially in terms of quality, and enterprises with more greenwashing tend to have a weaker response to ISO14001 certification. Finally, our mechanism test indicates that ISO14001-induced green technology innovation serves as a leverage effect on existing innovation activities, rather than a crowding-out effect on other technological innovations or a speculative activity aimed at defrauding government subsidies.
... The voluntary EO is motivated by firms' strategic goals, and this research focuses on ISO 14,001 certification. ISO 140,011 certification is self-initiated to improve firm reputation and social and market positioning, cut costs, and provide better environmental benefits (Fryxell and Szeto 2002;Prajogo et al. 2012). ...
The rapid expansion of digital technology has increasingly challenged conventional knowledge in corporate green innovation. Debate surrounding whether and how enterprise digital transformation enhances green innovation outcomes is gathering pace. However, there remains no conclusive evidence, in large part because the motivation for green innovation is overlooked. Using data from Chinese publicly listed firms between 2008 and 2021, this study explores the impact of digital transformation on the underlying mechanisms and boundary conditions of green innovation through the lens of company motivations, distinguishing green innovation as substantive-driven and strategic-driven. The results reveal that digital transformation significantly impacts green innovation by strengthening the resource and knowledge bases, which is consistent with the resource-based view. However, considering the motivations of green innovation, we find that digital transformation positively affects substantive innovation, but does not affect strategic green innovation. We further explore the boundary conditions of digital transformation’s effects on green innovation by analyzing the moderating effect of environmental orientation (EO) and separating EO’s motivations into voluntary-driven and mandatory-driven. The results show that environmental orientation positively moderates the relationship between digital transformation and green innovation and that only voluntary-driven EO has a positive moderating effect. Our findings add new insights to the theory linking strategy decision-making to green innovation performance, with specific regard to firms’ motivations.
... However, these review articles included a handful of empirical studies with the ISO 14001 EMS standard having a neutral (Boiral, 2007;King et al., 2005;Prajogo et al., 2012) or even a negative impact (Zobel, 2013) on environmental performance. One of the main reasons for explaining these mixed results is the administrative burden of the EMS (Boiral et al., 2018), which foreshadows the existence of rigidities in the EMS standardization process, hampering environmental performance. ...
... Firms are constrained by the environment in which they exist, which forces them to make appropriate strategies to gain or maintain a position of legitimacy (Aguilera-Caracuel and Ortiz-de-Mandojana 2013). Mandatory regulations come from the government (Prajogo, Tang, and Lai 2012). The government rewards, fines or rectifies companies based on their environmental management, which can force companies to adopt positive environmental regulations to alleviate formal pressures (Zhu and Sarkis 2007). ...
Corporate social responsibility(CSR) is becoming increasingly important in the field of corporate sustainability. However, despite the growing literature on CSR, there is a paucity of empirical evidence examining external environmental pressures. This paper aims to fill this gap by exploring the relationship between CSR and green exploratory innovation from the perspective of three types of environmental regulations: mandatory, market-driven, and voluntary regulations. Using Chinese-listed companies from 2010 to 2019 as original data, we examined the impacts of CSR on green exploratory innovation of firms and the moderating effects of the three regulations using a moderating effect model. The results concluded that CSR could significantly stimulate firms to engage in green exploratory innovation. Mandatory and market-driven regulations exhibited positive moderating effects, and market-driven regulations have a greater impact on CSR strategies. In contrast, voluntary regulations showed a negative moderating effect. Our study will be of great value to companies under external environmental pressure and will provide a new path to achieve sustainable development.
... The existence of competitive pressure also causes companies to use the organization's internal resources more efficiently (Wu et al. 2012). Banks that adopt green banking will be motivated to imitate the successful adoption of other competitors, thereby helping banks to capture untapped market opportunities and gain market advantage (Prajogo et al. 2012). H 1 : Competitor pressure has a positive effect on green banking adoption Empirical evidence shows that customer pressure stimulates companies to adopt green innovations and has been shown to increase competitiveness because ...
Green banking is a bank’s operational activities to reduce environmental damage and preserve nature, thereby contributing to sustainable development. Green banking provides solutions for companies to various customer problems and business competition. The rapidly developing information and communication technology and the increasing number of people using the internet are opportunities for banks to transform to green banking. This study aims to prove the relationship between the variables that influence the adoption of green banking with the factors that influence the adoption of green banking, analyze the strategy by using SWOT analysis, and formulate managerial implications for increasing the adoption of green banking. The study was conducted on bank employees who have implemented green banking with 88 respondents who were determined by voluntary sampling. Data were collected using an online questionnaire. The statistical analysis used is the Structural Equation Model (SEM)-PLS. The results showed that all variables strongly correlate with the factors influencing green banking adoption. Banks can adopt green banking strategies based on the SWOT analysis results: green banking product innovation, increasing community empowerment programs, developing internal capabilities, collaboration with fintech and improving public education about the use of green banking. Several managerial implications that companies can carry out are with the latest marketing mix and formulating various green banking adoption strategies.
Keywords: brand image, competitor pressure, green banking adoption, top management support, value creation
... Such benefits are dependent on the selection and pursuit of goals, the observance of rules (e.g., no omissions), and environmental efficiency (e.g., no waste), and can only be determined after an in-depth investigation (Alberti et al., 2000). It has been determined that major organisational motives for the adoption of EMS include the following: meeting the demands of customers, complying with the requirements of regulatory agencies, seeking cost reduction and efficiency improvement, and searching for competitive advantages (Prajogo et al., 2012;Teng et al., 2018;Treacy et al, 2019). ...
It is necessary to be aware of both the costs and the advantages associated with the adoption of ISO 14000 certification in an organisation in order to conduct an accurate evaluation of the investment with regard to the state of the financial performance. On the other hand, as we will see, calculating these figures can be challenging, mostly because there is a dearth of reference data or particular evaluation criteria. This paper investigates the effect of iso 14001 certification on firm performance using Indian public listed manufacturing firms financial data from CMIE prowess data base using the propensity score matching techniques followed by regression analysis. The result indicates that effect of iso 14001 certification on firm performance is significant. The further investigation reveals that sales coefficient is higher than cost for iso 14001 certified firms. This study provides empirical support for policy-makers promoting environmental practices that may lead to sustainable economic growth.
... Questionnaires are considered valuable research tools for data collection and were utilized for performing the study with four latent variables, e.g., EMS, green HRM practices, OCBE, and TBL. For measuring EMS, the present study used the 06-items scale based on a 5-point Likert scale developed by Prajogo et al. [102]. A sample was "To build synergies among management systems". ...
Over the years, Malaysian manufacturers struggled to mitigate the widened gap among the three aspects of TBL performance, e.g., economic, social, and environmental. Although, the economic performance is relatively elevated compared to environmental performance based on environmental performance index (EPI) data reports. Similarly, less than twenty per cent (20%) of manufacturers are ISO14001-certified out of the total registered firms in the 52nd FMM directory. The firms must employ green HRM practices to foster pro-environmental behaviour and support their managers to adopt the environmental management system (EMS) framework to reap the benefits of TBL performance. To resolve these issues, sustainability has become an essential strategy for manufacturers in addressing environmental problems due to consistent ecological awareness among stakeholders that compels firms to adopt EMS and green HRM practices to foster organizational citizenship behaviour for the environment (OCBE) and improve triple bottom line (TBL) performance. This research aimed to investigate the impact of the EMS on TBL performance through green HRM practices and OCBE via a serial mediation approach among ISO14001-certified manufacturing firms. A quantitative methodology was employed based on a positivist paradigm. The sample of 350 respondent firms was randomly targeted via standard questionnaires. Around 248 manufacturers responded with a response rate of 70%, which is sufficient for data analysis. After outliers and normality assessment, the clean data of 216 manufacturers were finally analysed using SmartPLS 4.0. Structural equation modelling (SEM) analysis revealed that EMS is positively related to OCBE, and OCBE is positively associated with TBL. EMS is positively related to green HRM practices, and green HRM practices are positively associated with OCBE. Furthermore, it was confirmed that green HRM practices and OCBE serially mediated the relationship between EMS and TBL performance among ISO14001-certified manufacturing firms. The current study also presents vital organizational and managerial implications.
... Given the superior power of the government, the costs of non-compliance are very high for firms (Deephouse and Carter 2005). Therefore, firms must comply with laws and institutions to obtain the legitimacy granted by the government (Prajogo et al. 2012), and green innovation helps companies improve their legitimacy and avoids penalties for non-compliance. Not all firms engage in green innovation facing the institutional pressures, and those polluting-firms are more likely to be challenged by external actors (e.g., governments, activists, media, etc.) and thus, they become targets of criticism relative to their peers. ...
Findings from prior studies regarding the relationship between national institutional pressures and corporate green innovation have been mixed. To address this gap, we consider the moderating effects of public agents (provincial officials) and private agents (corporate CEOs) to investigate corporate green innovation in response to institutional pressures. Using the method of difference-in-difference, we examine the data from 722 publicly listed Chinese firms between 2007 and 2019, a period associated with the implementation of China’s Twelfth Five-Year Plan which increase the emphasis on social indicators for national development. Our results firstly show that institutional pressures caused by Twelfth Five-Year Plan significantly facilitate polluting-firms’ green innovation relative to clean-firms, and the effect is stronger when public agents are more concerned about promotion to the central government or private agents have greater concerns for legitimacy, meanwhile not producing an a real “incentive effect” on corporate green innovation, but a “crowding-out effect” on existing innovation. Furthermore, results also suggest institutional pressures mainly induced polluting-firms’ strategic innovation behaviors, and the incentive effects of institutional pressures on polluting-firms’ green innovation are different in terms of firms’ ownership and size. Our results generate important theoretical and practical implications.
... Nawrocka et al. (2009) employed ISO 14000 standards for organizations, including procedures and policies, to determine the environmental effects on operations. ISO 14001 act was also developed to enforce the stakeholders, social community, and other regulatory bodies for making strategies for environmental management (Prajogo et al. 2012). It helps them market their goods to foreign customers (Ali and Shoaib 2023) and provides the direction for logistics partners to choose a green incentive. ...
Globalization has led companies to adopt a sustainable green perspective in their logistics business to achieve their financial
goals and fulfill social and environmental aspects. A growing number of logistics organizations are now willing to adopt
sustainability in their operations because of external pressure and to enhance their marketing. As it is difficult to change
traditional logistics activities into sustainable green logistics, this study aims to identify and prioritize critical enablers for
implementing sustainable green logistics, as no previous research discusses sustainable green logistics enablers by adopting
an integrated modeling approach. In total, 21 enablers were identified with the assistance of 118 articles related to sustainable
and green logistics. Initially, exploratory factor analysis (EFA) was used to group relevant enablers into their concerning
domain. Second, the fuzzy decision-making trial and evaluation laboratory (DEMATEL) approach analyzed interrelationships among enablers by finding cause-and-effect behavior and ranking them accordingly. Finally, the interpretive structural
modeling (ISM) method formed a robust theoretical framework according to the results achieved with the assistance of fuzzy
DEMATEL. Based on the acquired results, aspects A5 (Customer) and A7 (External management) are considered critical.
At the same time, enablers E18 (Organization’s/Top management support), E2 (Government regulation and legislation), and
E14 (Public and consumers’ pressure) got the highest ranking in achieving sustainable green logistics. This research will help
the researchers and managers of logistics operations to build a suitable strategy before adopting sustainable green logistics.
... These firms can do so by refining their manufacturing processes to reduce the environmental footprint for environmental conservation [1,2] . There is a growing trend of firms that adopt environmental management system for improving their environmental performance based on their manufacturing activities [3][4][5] . This paradigm shift towards environmental conservation has drawn the attention of researchers. ...
Stakeholders’ concern towards the ecological damage arising out of emissions from the industrial processes has raised serious issues before the industrial sectors. Environmentalists and researchers are raising these issues in various forums. Few industrial sectors are well informed about environmental protection and act accordingly to address these issues by complying with environmental norms. However, some firms are more ethical in their business and proactively redefine their operations and policies beyond the regulatory requirements. What factors compel these firms to go beyond the extant laws to protect the environment? This study statistically analyses India’s cement sector for the factors that may be the drivers of environmental proactivity. Using Structural Equation Modelling (SEM), eight hypotheses were tested. The study’s findings can be helpful for the policymakers, environmental managers, and industrial sectors to frame policies for environmental protection, which will redound to societal benefit.
... Previous research have used several theories to identify various variables that influence the adoption process of an organization, such as institutional theory (Hoejmose et al., 2014;Bose et al., 2018;Pleasant et al., 2014), legitimacy theory (Hrasky, 2012;Céspedes-Lorente et al., 2003), stakeholder theory (Céspedes-Lorente et al., 2003;Sarkis et al., 2010;Clifton and Amran, 2011), resource-based theory Sarkis et al., 2010;Prajogo et al., 2012), theory of planned behavior (Wu and Chen, 2014;Dezdar, 2017;Cordano and Frieze, 2000) and a view of the firm based on natural resources (Bae, 2017;Graham and McAdam, 2016;Dibrell et al., 2015). ...
Purpose
This study aims to examine the impact of stakeholder pressure on Islamic banks’ corporate social responsibility (CSR) practices and financial performance.
Design/methodology/approach
A close-ended questionnaire was collected from 282 Islamic bank’s branch managers. Partial least square structural equation modeling was used to test the hypothesized model. Both measurement and structural models were found to be fit for this research.
Findings
Results indicate that all components of stakeholder pressure (management, client, competitor, Sharia advisory board and community) have a significant positive impact on Islamic CSR. The findings of this study further revealed that Islamic CSR is a significant predictor of bank’s financial performance. Based on the present empirical results, this study suggests that Islamic bank managers should develop the best CSR practices to gain a competitive advantage and sustainable financial performance.
Originality/value
Overall, this study contributes significantly to the Islamic bank CSR literature. However, to the best of the authors’ knowledge, few studies have been conducted to establish a link between firm performance and CSR in Islamic banks using a comprehensive model of stakeholder pressure.
... Over the last decades, NRBV has become an established research field, and crossdisciplinary studies have been conducted that stretch over a wide range of research fields. Studies that integrate NRBV with supply-chain management (Miemczyk et al., 2016;Nishant et al., 2016;Huo et al., 2019), dynamic capabilities (Arag on- Correa and Sharma, 2003;Graham, 2018;Kabongo and Boiral, 2017), institutional theory (Li et al., 2019;Prajogo et al., 2012), stakeholder theory (Schmidt et al., 2017;Li et al., 2016), strategic alliances (Norheim-Hansen, 2018) and absorptive capacity (Aboelmaged and Hashem, 2019) are examples of this. Even though the EO research field ought to be closely related to NRBV, since its central theme is the identification of drivers for financial performance (Wiklund, 1999;Miller, 1983), there is a scarcity of studies that explores the interaction between EO and NRBV. ...
Purpose
As environmental awareness becomes more widespread, the issue of making manufacturing more sustainable has gained increasing attention. The natural-resource-based view (NRBV) sets out to explain how firms can reduce their environmental footprint while simultaneously improving their financial performance. Drawing on the NRBV and entrepreneurial orientation (EO) literature, this study examines the relationship between pollution prevention, risk-taking and financial performance.
Design/methodology/approach
Data from 303 Swedish manufacturing firms were collected through a survey.
Findings
The findings reveals a positive relationship between pollution prevention and financial performance, and this relationship is found to be negatively moderated by risk-taking; that is, pollution prevention reduces the requisite for risk-taking in the achievement of financial performance.
Originality/value
This is the first study to explore how risk-taking moderates the relationship between a pollution prevention strategy and financial performance.
... Results showed that the key factors explaining certification are expectations of stakeholder reactions, proactivity in addressing the future business concerns, legal concerns and internal pressure within the organization. Prajogo, Tang, and Lai (2012) studied the incentives of firms in Australia to obtain the ISO 14001 certification, finding that both external pressure from regulation compliance and internal motivations are the main factors explaining certification. Relatedly, Tambunlertchai, Kontoleon, and Khanna (2013) found that foreign direct investment and export orientation of a firm influenced the probability of acquiring ISO 14000 in Thailand. ...
Tackling environmental problems is one of the main policy challenges facing governments. The process of forming attitudes starts at a young age, and is mostly shaped by education. Participation in pro-environmental initiatives at schools is mainly voluntary. Local governments can play an important role as the institution that links communities with the environment. In this paper, we examine the role of local governments/municipalities on school participation in an environmental educational program, with a special focus on primary and secondary education. We use data from the Sustainable School Program in Chile. We model schools’ participation and level of participation by an ordered probit model with sample selection. Results show that public schools are more likely to participate in the program compared with private schools, and schools with more teachers reveal a higher probability of being part of the program. In addition, while school performance and teachers’ perceptions correlate with achieving higher levels of certification, a more intense commitment to the program is more likely in communes whose local authorities have the capacity to promote voluntary financial and environmental initiatives. Thus, in order to promote successful co-management of environmental policy, local governments should take into account the heterogeneity of the school system.
... Some of these reasons are meeting customer expectations (Gualandris & Kalchschmidt, 2014), abiding by the regulations (Jones, 2010), and handling competition (Mihalič, 2000). The literature also classifies these reasons into coercive, mimetic, and normative categories (Prajogo et al., 2012), impacting energy-saving initiatives (Suk et al., 2013). Hence, we argue that managers' reasoning is a key constituent of cognitive factors influencing their behavioral intentions toward environmental initiatives. ...
The literature points toward a limited understanding regarding the relationship between managers' cognition and their environmental behavioral intentions. Using behavioral reasoning theory, this study examines the relationships between managers' cognition and their behavioral intentions toward environmental initiatives. Data was collected from 256 managers working in manufacturing firms in India and modeled by structural equation modeling. The modeling of data suggests that managers' reasoning for and against energy‐saving initiatives is positively associated with their self‐enhancement values (SEV) and negatively with their self‐transcendence values (STV). Managers' reasoning regarding the energy‐saving initiatives fully and positively mediates the manifestation of SEV into their positive attitude toward energy saving. The same reasoning fully and negatively mediates the relationship between STV and the attitude toward energy‐saving initiatives. Industry experience of the managers also strengthens the relationship between their values and their “reasoning for” energy‐saving initiatives. The study also offers directions for future research and consequent implications.
A significant part of the literature postulates the importance of economic factors and, in particular, market pressure as the main motivation for the adoption of environmental management systems, such as ISO 14001 (International Organization for Standardization). Most of these studies are based on questionnaire surveys assessing the perceptions or opinions of company managers. Few studies have investigated the relationship between the adoption of the standard and economic and financial performance using objective accounting data. This study aimed to test the link between ISO 14001 adoption and economic and financial performance using accounting data from 374 agrifood small‐ and medium‐sized enterprises (SMEs) in Spain during the period 2013 to 2015. The results showed that ISO 14001 contributes to improved commercial and marketing performance through a positive effect on turnover in domestic markets and especially in export markets. However, no positive relationship could be found between ISO14001 and company results or profits. Therefore, ISO 14001 can be considered more as a means of entering and developing sales, particularly in export markets, than a tool to enhance financial profits.
The increased popularity of sustainability-related internet searches and the willingness of consumers to pay a price premium for sustainable goods or services indicate that sustainability remains a significant priority for both consumers and companies. Here are some of the key points based on my observations and research articles, I have already read. It is a growing interest and consumer awareness. As the number of searches for sustainable goods or services has risen, this suggests that consumers are actively seeking information on eco-friendly products and practices. Consumers have also recognized the positive impact of sustainability on their health and their willingness to pay is not solely determined by the price of the product, but also by the values and benefits associated with sustainability. They also are willing to make trade-offs and sacrifices to support sustainable options because they perceive them as contributing to a better future. Regarding the companies' point of view, many companies have recognized that sustainability is no longer a choice but a necessity for long-term success, integrating sustainability into their business practices helps them meet customer expectations, enhance brand reputation, and reduce risks associated with environmental impact and regulatory compliance. Considered more broadly, the evidence suggests that sustainability remains a major priority for customers and companies alike. Customers are willing to pay more for sustainable goods due to the perceived benefits to their health and the environment. For companies, embracing sustainability has become essential for meeting consumer expectations, gaining a competitive edge, and realizing economic advantages. 1
This study contributes to the feld of sustainability by analyzing changes in frms following the adoption of new environmental protection laws to meet community sustainability needs. Focusing on the Chinese context, it examined the relationship between frms’ environmental protection measures (i.e., corporate green behavior) and proftability (i.e., corporate tax avoidance). The moderating roles of environmental uncertainty and digital technology application in this relationship were also investigated. The findings offer insights into the complex dynamics linking frms’ environmental initiatives to their business outcomes and fnancial decisions within the framework of a sustainable community. Ultimately, this study highlights the importance and implications of sustainable practices for both the environment and corporate fnancial performance. Firms’ environmental behaviors are enablers of sustainable communities by deploying natural resources and creating a more resilient economy through active community participation in green production models.
Nghiên cứu này kiểm định ảnh hưởng của hai biến độc lập là Đào tạo và Sự tham gia của nhân viên tới lợi ích môi trường và lợi ích xã hội tại các doanh nghiệp có áp dụng hệ thống quản lý môi trường ISO:14001 ở Việt Nam. Thông qua phân tích 258 phiếu khảo sát tại các doanh nghiệp đang áp dụng hệ thống quản lý môi trường ISO:14001, kết quả nghiên cứu xác nhận cả hai biến độc lập là đào tạo và sự tham gia của nhân viên đều có tác động đến 2 biến phụ thuộc là lợi ích môi trường và lợi ích xã hội. Trong đó, biến đào tạo nhân viên có ảnh hưởng đến hai mặt lợi ích mạnh hơn so với biến sự tham gia của nhân viên. Ngoài ra, trong nghiên cứu này cũng xác nhận ảnh hưởng mạnh mẽ nhất thuộc về tác động từ lợi ích môi trường trong ba biến có tác động tới lợi ích xã hội.
The study evaluated the effect of cement production processes on dry atmospheric chemistry in Southern Nigeria. Sampling of CO, CO 2 , SO 2 , NO 2 , VOC, H 2 S, PM 2.5 , PM10 were taken from three sites at cement production process namely: milling site, quarrying site and loading bay. Results revealed that milling site had highest general levels of dry atmospheric chemistry while quarrying recorded highest particulate matter and SO 2 . Comparison of air pollutants to global environmental standards showed limits exceedances in CO, SO 2 , NO 2 , PM 10 across the three sites. Pearson product moment correlation revealed flipped relationship among and between the pollutants. Principal component matrix for the three locations showed high positive and negative loadings of CO, CO 2 , SO 2 , NO 2 , VOC, H 2 S, PM 2.5 , PM10 existing in clusters from different sources. Monthly air quality index report implicated PM 10 and SO 2 as major constituents of hazardous and very unhealthy air quality around the area. Recommendation were made among others that the company should conduct an environmental auditing of all there processes so as to improve their environmental performance.
La importancia de los sistemas de gestión para la integración de la RSC en la estrategia de la empresa es un recurso vital que ha sido poco estudiado en las empresas tecnológicas. En este artículo se propone un modelo de ecuaciones estructurales para explicar la influencia de la RSC y su integración en el sistema de gestión de la empresa, facilitada por la existencia de sistemas de gestión normalizados previos, y cómo influye dicha integración en la estrategia de la empresa y si esto tiene un reflejo en el performance económico de la empresa tecnológica. El estudio se llevó a cabo en empresas ubicadas en parques científicos y tecnológicos españoles. Los resultados del modelo revelan que existe una relación positiva, directa y estadísticamente significativas entre la integración de la RSC y la estrategia, por un lado, y la integración y el performance, por el otro. Asimismo se evidencia unas relaciones indirectas entre los sistemas de gestión normalizados previos a la implantación de la RSC y el performance y, por tanto, con implicaciones prácticas para la gestión de la RSC en empresas tecnológicas.
Sustainability is about meeting the needs of today without compromising the needs of future generations. It involves focus on three main dimensions economic, environmental and social for achieving overall performance. Majority of the companies are adopting sustainability for business growth and boosting their corporate image for long term competitiveness, thereby receiving financial benefits as well. Sustainability is a concept that has come into picture a few years back and presently making a big mark in every field.
In the thesis, we propose a balanced scorecard framework for measuring sustainability performance of business organizations. We begin by studying, why the companies should invest in sustainability initiatives and what are the tools used for measuring sustainability. We investigate different scorecards for measuring sustainability and propose a new sustainability scorecard model to measure organization’s overall sustainable performance. Our sustainability scorecard encompasses four main dimensions namely organization, process, core and learning. Each of these dimension comprises of various indicators obtained from GRI and corporate reports of 100 most sustainable companies- Forbes. The application of the sustainability scorecard is performed via multi criteria decision making technique called- Analytical Network Process (ANP). A numerical study is provided.
The strength of the proposed model is that, - it overcomes the problems faced by the traditional balanced scorecards in sustainability evaluation of organizations. It provides a strong framework, has great flexibility and allows the opportunity to study the impact of one indicator over the other through the means of sensitivity analysis to identify improvements.
A Balanced Scorecard Framework for Measuring Sustainability Performance of Business Organizations
Varun Arora
Concordia University
Sustainability is about meeting the needs of today without compromising the needs of future generations. It involves focus on three main dimensions economic, environmental and social for achieving overall performance. Majority of the companies are adopting sustainability for business growth and boosting their corporate image for long term competitiveness, thereby receiving financial benefits as well. Sustainability is a concept
that has come into picture a few years back and presently making a big mark in every field.
In the thesis, we propose a balanced scorecard framework for measuring sustainability performance of business organizations. We begin by studying, why the companies should invest in sustainability initiatives and what are the tools used for measuring sustainability.
We investigate different scorecards for measuring sustainability and propose a new sustainability scorecard model to measure organization’s overall sustainable performance.
Our sustainability scorecard encompasses four main dimensions namely organization, process, core and learning. Each of these dimension comprises of various indicators obtained from GRI and corporate reports of 100 most sustainable companies- Forbes. The application of the sustainability scorecard is performed via multi criteria decision making technique called- Analytical Network Process (ANP). A numerical study is provided.
The strength of the proposed model is that, - it overcomes the problems faced by the traditional balanced scorecards in sustainability evaluation of organizations. It provides a
strong framework, has great flexibility and allows the opportunity to study the impact of one indicator over the other through the means of sensitivity analysis to identify improvements.
Due to rapid industrialization and economic growth, sustainability and environmental concerns are becoming the most prominent for preserving natural resources, and biodiversity. The sustainable manufacturing system is receiving significant attention in manufacturing organizations to improve organizational sustainability performance. Policymakers, organizations, and Government are continuously making efforts to drive organizations toward a sustainable manufacturing system. Various work has been done the sustainable manufacturing drivers. It has been observed that there is still a research gap between the sustainable manufacturing drivers and motives from the organization's perspective. The objective of this study is to identify the various drivers and motives for the sustainable manufacturing system. A systematic literature review of Web of Science and Google Scholar database is carried out. A total of 181 papers and 101 papers respectively, from the timeframe 1987 to 2021, were reviewed to identify the drivers and motives for the sustainable manufacturing system. The study also suggests a performance evaluation model for evaluating the sustainability performance of the organization, and a performance evaluation framework to strategically benchmark the sustainable manufacturing practices with the other organizations, and continuously improve the organization's sustainability gain through the incremental change opportunities identified through the holistic system thinking.
Les grandes entreprises évoluent dans un environnement social, climatique, économique et désormais sanitaire, complexe et incertain qui remet en cause le déterminisme mécanique et la logique cartésienne. A cela, s’ajoute une 4ème révolution industrielle. Pour survivre, elles doivent donc évoluer et accroitre leur capacité d’innovation. La majorité des études existantes se sont alors concentrées sur l’innovation technologique, négligeant la dimension non technologique de l’innovation, couramment nommée : « innovation organisationnelle ». Pourtant, cette dernière permet aux grandes entreprises de prendre en compte un ensemble de facteurs qui favorisent leur capacité d’innovation et l’ancre dans leurs routines. L’objectif est alors, grâce à une approche systémique et transdisciplinaire, d’identifier ces facteurs, que nous nommons « capacités d’Innovation Organisationnelle ». Elles regroupent les capacités dynamiques de l’entreprise ainsi que les antécédents de l’innovation organisationnelle. En effet, bien souvent l’innovation non technologique est perçue comme un concept flou et hétéroclite. Il apparait donc nécessaire de doter les entreprises de modèles, méthodes et d’outils qui permettent de rendre le concept concret et opérationnel. Néanmoins, de nos jours, la modélisation d’entreprise présente des limites pour d’une part, la représentation d’une grande entreprise que nous assimilons à un système« Organique » sociotechnique complexe et ouvert et d’autre part pour la représentation et pilotage des capacités d’Innovation Organisationnelle. Ainsi, dans le cadre d’une convention CIFRE avec l’entreprise SNCF Réseau, le laboratoire IMS de l’Université de Bordeaux et le laboratoire Icube de l’Université de Strasbourg, nous proposons un cadre conceptuel de la grande entreprise, de l’innovation organisationnelle ainsi qu’une démarche d’analyse et de préconisation des capacités d’Innovation Organisationnelle, basée sur notre propre modèle de l’innovation organisationnelle pour une grande entreprise.Ce travail de thèse a donc abouti à l’élaboration d’un méta-modèle qui permet à la grande entreprise d’avoir une vision systémique d’elle-même dans le but d’améliorer sa capacité d’innovation. Le modèle se compose de trois systèmes « Organisation-Territoire- Réseau d’acteurs, » et permet de mettre en évidence les capacités d’Innovation Organisationnelle au sein des systèmes dans une logique de caractérisation et de pilotage de celles-ci notamment grâce à l’évaluation de leurs impacts et de leurs priorités. Notre démarche repose sur une étude de cas basée sur une méthodologie quantitative multicritères.Au final, cette thèse est à l’origine de plusieurs contributions. Tout d’abord, le décloisonnement des sciences nous permet d’étudier les antécédents de l’innovation organisationnelle liées au territoire, et aux réseaux d’acteurs, au-delà des approches classiques qui privilégient en général les antécédents internes à l’organisation. Ensuite, nous concédons une place centrale aux dimensions humaines et sociales qui s’avèrent essentielles tout comme l’est une meilleure compréhension de leurs interactions à la fois formelles et informelles (ex : culture d’entreprise, climat social, connaissances, leadership…). Enfin, l’étude de l’impact des capacités d’Innovation Organisationnelle que nous proposons n’a jamais été réalisée auparavant pour une grande entreprise (des travaux sur les PME existent). Ainsi, la capacité d’innovation d’une grande entreprise est dépendante des interactions entre le territoire, les systèmes qui le composent, ses réseaux d’acteurs et les systèmes socio technique de l’organisation. Ces résultats débouchent sur des recommandations pour un meilleur pilotage des capacités d’Innovation Organisationnelle favorisant la capacité d’Innovation qui s’ancre dans la culture de l’entreprise.
Due to various government regulations and many other environmental related problems industries have to focus on these issues if they want to make business in the competitive market. Implementation and certification of Environmental Management System (EMS) is very important for industries as it will help to remove many environmental related issues and for sustainable development. Environmental related issues play different role in developed and developing countries. Developed countries have set up their own environmental standards and regulations which should be fulfilled by industries of other countries to have business with them. Regulatory pressure play important role to save environment but other factors like customer awareness, competitor’s pressure, societal pressure etc. are also important. Environmental issues related to automotive sectors need appropriate investigations in developing countries. Various drivers which create pressure on companies to adopt EMS practices are identified by extensive literature review which is the main objective of this paper. It includes providing a background on related concepts, literature review on various environment related issues and the concluding remarks for this review to save environment to some extent.
Purpose
This study seeks to understand how regulatory and competitive forces impact firms' actions and innovation performance. The study investigates how firms strategize internally and externally to address regulatory and competitive forces, and how such actions influence firms' innovation performance.
Design/methodology/approach
The data were collected via a survey of 217 managers of business organizations in Nigeria.
Findings
Regulatory forces have a positive relationship with both absorptive capacity (AC) and information sharing (IS). Competitive forces, on the other hand, only have a negative relationship with IS but not with AC. AC has a positive relationship with innovation performance, while IS, surprisingly, does not have a positive relationship with innovation performance.
Originality/value
The study contributes to knowledge by empirically validating the relationships between environmental forces and innovation performance; more importantly, the study uncovers the underlying factors, i.e. IS and AC that link environmental forces and firms' innovation performance.
Supplier inputs need to be delivered at the right time in the right quality and quantity to fully satisfy the operations requirements of buying firms. In achieving these performance goals, the importance of supplier commitment in managing the buyer-supplier relationship (BSR) should not be neglected in logistics operations. Due to organisational differences on operations priorities, it is a challenging task to manage a BSR which is inherently complex with many transactional and institutional aspects involved. This challenge is salient in logistics management with multiple upstream and downstream parties involved where the lack of concerted efforts can compromise performance of the entire logistics chain. For many enterprises, it remains unclear on how to nurture supplier commitment in support of their logistics operations. Considering this research void, we examine the antecedents of supplier commitment covering both transactional and institutional factors influencing supplier commitment in the BSR. Survey data collected from 358 suppliers of an international buying firm indicate that business uncertainty discourages supplier commitment, but the commitment can be reinforced with both explicit and implicit contracts used for governing the BSR.
Monte Carlo computer simulations were used to investigate the performance of three χ–2 test statistics in confirmatory factor analysis (CFA). Normal theory maximum likelihood χ–2 (ML), Browne's asymptotic distribution free χ–2 (ADF), and the Satorra-Bentler rescaled χ–2 (SB) were examined under varying conditions of sample size, model specification, and multivariate distribution. For properly specified models, ML and SB showed no evidence of bias under normal distributions across all sample sizes, whereas ADF was biased at all but the largest sample sizes. ML was increasingly overestimated with increasing nonnormality, but both SB (at all sample sizes) and ADF (only at large sample sizes) showed no evidence of bias. For misspecified models, ML was again inflated with increasing nonnormality, but both SB and ADF were underestimated with increasing nonnormality. It appears that the power of the SB and ADF test statistics to detect a model misspecification is attenuated given nonnormally distributed data. (PsycINFO Database Record (c) 2012 APA, all rights reserved)
Self-reports figure prominently in organizational and management research, but there are several problems associated with their use. This article identifies six categories of self-reports and discusses such problems as common method variance, the consistency motif, and social desirability. Statistical and post hoc remedies and some procedural methods for dealing with artifactual bias are presented and evaluated. Recommendations for future research are also offered.
The construction industry, as an economically strategic sector and a large contributor to pollution generation, is expected to face enormous obstacles if it doesn't respond to the new business and regulatory environmental requirements in an increasingly competitive market after international trade liberization. A practical tool to achieve sustainable construction is through adopting Environmental Management Systems (EMS). Movement towards environmental management systems is getting momentum in the construction industry of most developed countries. However this field is still a relatively new and the concept is still marginalized in most of the developing world. It is suggested that lack of awareness is a major contributor to this lag.This paper reports on the results of a research on the environmental awareness of the top 50 contractors in Egypt. It investigates their ISO 14001/EMS awareness, opinions about contractor's responsibility towards the environment, necessity of ISO 14001, and obstacles and potentials for ISO 14001 adoption. These results will pave the way for effective implementation of EMS by contractors in Egypt. The paper also discusses integrating sustainable construction principals with EMS. This integration should result in environmental, social, as well as economical benefits.
Most theorizing on the relationship between corporate social/environmental performance (CSP) and corporate financial performance (CFP) assumes that the current evidence is too fractured or too variable to draw any generalizable conclusions. With this integrative, quantitative study, we intend to show that the mainstream claim that we have little generalizable knowledge about CSP and CFP is built on shaky grounds. Providing a methodologically more rigorous review than previous efforts, we conduct a meta-analysis of 52 studies (which represent the population of prior quantitative inquiry) yielding a total sample size of 33,878 observations. The meta- analytic findings suggest that corporate virtue in the form of social responsibility and, to a lesser extent, environmental responsibility is likely to pay off, although the operationalizations of CSP and CFP also moderate the positive association. For example, CSP appears to be more highly correlated with accounting-based measures of CFP than with market-based indicators, and CSP reputation indices are more highly correlated with CFP than are other indicators of CSP. This meta-analysis establishes a greater degree of certainty with respect to the CSP-CFP relationship than is currently assumed to exist by many business scholars.
Purpose
Seeks to analyze changes in the perceived benefits and costs of ISO 9000 implementation over time.
Design/methodology/approach
Results of two surveys, performed in 1998 and 2002, with 283 and 399 Catalonian companies participating, respectively, are presented, compared and analyzed.
Findings
There has been a significant decrease in the perception of ISO 9000 implementation benefits from 1998 to 2002. However, most companies still believe that ISO 9000 is beneficial overall. ISO 9000 implementation and maintenance costs have substantially decreased in the same four‐year period.
Research limitations/implications
In July 2002, when the second survey was conducted, the majority of the participating companies were still registered to one of the old versions of the standard, namely ISO 9001/2/3:1994. The findings support the notion that ISO 9000 standards are limited in providing a set of concrete benefits over time.
Practical implications
The outcome of the study contributes to a better understanding of the temporal nature of the impact ISO 9000 requirement standards have had on companies.
Originality/value
This is one of the first papers that analyses the benefits and costs of ISO 9000 implementation over time.
T he process used by organizations to integrate the ISO 14001 standard has not yet been the subject of extensive research in environmental management despite the rapid development of this standard, particularly in industrial companies. The results of a case study conducted among nine ISO 14001 certified Canadian organizations showed that adopting this standard tends to lead to a ceremonial behaviour intended to superficially show that the certified organizations conformed to the standard. Although rigorous compliance with the standard often resulted in real improvements, these improvements were primarily technical and administrative in nature. However, in most of the cases studied, daily practices remained somewhat decoupled from the prescriptions of the ISO 14001 system, of which employees generally had only a vague understanding. The organizations studied adopted different strategies to reconcile external pressures in favour of adopting this standard and internal constraints associated with a management system whose support varied from one case to the next. While the standard often appeared to be some sort of "rational myth" (Meyer and Rowan 1977) to which organizations superficially committed themselves, the adaptation to institutional pressures was not necessarily straightforward. Using the example of the ISO 14001 standard, our study helps to show how this myth can be integrated, transformed, and even created through rhetoric by organizations to resolve certain contradictions. This research also illustrates how adopting the ISO 14001 system can have an ambiguous effect on environmental management practices and performances. /An abstract-video of the article is available at the following address: https://www.youtube.com/watch?v=yJPUHwX5Byg
Understanding sources of sustained competitive advantage has become a major area of research in strategic management. Building on the assumptions that strategic resources are heterogeneously distributed across firms and that these differences are stable over time, this article examines the link between firm resources and sustained competitive advantage. Four empirical indicators of the potential of firm resources to generate sustained competitive advantage-value, rareness, imitability, and substitutability are discussed. The model is applied by analyzing the potential of several firm resources for generating sustained competitive advantages. The article concludes by examining implications of this firm resource model of sustained competitive advantage for other business disciplines.
Monte Carlo computer simulations were used to investigate the performance of three χ2 test statistics in confirmatory factor analysis (CFA). Normal theory maximum likelihood χ2 (ML), Browne's asymptotic distribution free χ2 (ADF), and the Satorra-Bentler rescaled χ2 (SB) were examined under varying conditions of sample size, model specification, and multivariate distribution. For properly specified models, ML and SB showed no evidence of bias under normal distributions across all sample sizes, whereas ADF was biased at all but the largest sample sizes. ML was increasingly overestimated with increasing nonnormality, but both SB (at all sample sizes) and ADF (only at large sample sizes) showed no evidence of bias. For misspecified models, ML was again inflated with increasing nonnormality, but both SB and ADF were underestimated with increasing nonnormality. It appears that the power of the SB and ADF test statistics to detect a model misspecification is attenuated given nonnormally distributed data.
This article induces a model of the evolving rhetoric and reality of total quality management (TQM) in five organizations to show how institutional forces can distort the technical reality of TQM. Using interviews, organizational documents, and observation, I follow the social construction of TQM in these organizations to trace the relationship between the technical practices and rhetoric of TQM. The model shows that managers consume a rhetoric of success about TQM, use that rhetoric to develop their TQM program, and then filter their experiences to present their own rhetoric of success. Consequently, the discourse on TQM develops an overly optimistic view of TQM. The models demonstrate how individual actions and discourse shape TQM and fuel institutional forces.
Operations management researchers and practitioners face new challenges in integrating issues of sustainability with their traditional areas of interest. During the past 20 years, there has been growing pressure on businesses to pay more attention to the environmental and resource consequences of the products and services they offer and the processes they deploy. One symptom of this pressure is the movement towards triple bottom line reporting (3BL) concerning the relationship of profit, people, and the planet. The resulting challenges include integrating environmental, health, and safety concerns with green-product design, lean and green operations, and closed-loop supply chains. We review these and other “sustainability” themes covered in the first 50 issues of Production and Operations Management and conclude with some thoughts on future research challenges in sustainable operations management.
In recent years, there have been significant developments in the field of environmental risk assessment and management. Its role in the corporate setting has been strengthened by claims that financial results and corporate reputation can be significantly improved through environmental management. Risk assessment and management provides one of the most comprehensive and cost-effective mechanisms for managing environmental issues and has subsequently led to the adoption of risk-based environmental management. This research examines the current discussion in the field of environmental risk management and undertakes a survey of 112 UK companies to ascertain how environmental risk assessment is perceived and what role it has in environmental management, including environmental reporting and accounting.
The paper concludes that whilst there have been some positive developments in the area, companies, governments and regulators still have work to do in ensuring the adoption of best practice.
Green retailing, generally viewed as the incorporation of environmental protection measures into retail operations, has become a common phenomenon. Despite an increasing interest among practitioners, there isa lack of understanding about what green retailing is and what the success factors are for its implementation. This article examines the practices of leading green retailers, shedding light on the different coordinator roles of retailers between suppliers and customers in greening their value chains. It identifies three broad dimensions of green retailing—internal-improvement, external-coordination, and supportive-development—and notes the critical capabilities required for firms to achieve success. It also presents a strategy loop with practical steps to help retailing executives incorporate green practices.
Argues that the formal structure of many organizations in post-industrial society dramatically reflect the myths of their institutional environment instead of the demands of their work activities. The authors review prevailing theories of the origins of formal structures and the main problem which those theories confront -- namely, that their assumption that successful coordination and control of activity are responsible for the rise of modern formal organization is not substantiated by empirical evidence. Rather, there is a great gap between the formal structure and the informal practices that govern actual work activities. The authors present an alternative source for formal structures by suggesting that myths embedded in the institutional environment help to explain the adoption of formal structures. Earlier sources understood bureaucratization as emanating from the rationalization of the workplace. Nevertheless, the observation that some formal practices are not followed in favor of other unofficial ones indicates that not all formal structures advance efficiency as a rationalized system would require. Therefore another source of legitimacy is required. This is found in conforming the organization's structure to that of the powerful myths that institutionalized products, services, techniques, policies, and programs become. (CAR)
Historically. management theory has ignored the constraints imposed by the biophysical (natural) environment. Building upon resource-based theory, this article attempts to fill this void by proposing a natural-resource-based view of the firm-a theory of competitive advantage based upon the firm's relationship to the natural environment. It is composed of three interconnected strategies: pollution prevention, product stewardship, and sustainable development. Propositions are advanced for each of these strategies regarding key resource requirements and their contributions to sustained competitive advantage.
The value chain of many business enterprises is increasingly required to demonstrate the profitability of their primary activities, starting from inbound logistics to operations, outbound logistics, marketing sales, and finally to services. The adoption of green logistics management (GLM) presents an opportunity for Chinese manufacturing exporters to competently respond to the escalating expectation of the international community for resources conservation and to achieve environmental performance profitably. This study makes several important contributions to the literature on managing logistics with environmental considerations. First, the authors identify the components of GLM: (i) procedure-based practices, (ii) evaluation-based practices, (iii) partner-based practices, and (iv) general environmental management practices. Second, they relate GLM to environmental and operational performance in a developing country context. Third, they identify the institutional and operational antecedents that prompt the adoption of GLM by export-oriented manufacturing enterprises in China. Fourth, they examine the moderating effect of environmental regulatory pressure on the GLM-performance linkage. The results are based on a survey of manufacturing exporters in China. The commonly held view that economic motivation is related to the adoption of GLM is not supported. However, GLM positively affects both environmental and operational performance, and regulatory pressure enhances the GLM-performance relationship.
We use panel data on ISO 9000 quality certification in 85 countries between 1993 and 1998 to better understand the cross-national diffusion of an organizational practice. Following neoinstitutional theory, we focus on the coercive, normative, and mimetic effects that result from the exposure of firms in a given country to a powerful source of critical resources, a common pool of relevant technical knowledge, and the experiences of firms located in other countries. We use social network theory to develop a systematic conceptual understanding of how firms located in different countries influence each other's rates of adoption as a result of cohesive and equivalent network relationships. Regression results provide support for our predictions that states and foreign multinationals are the key actors responsible for coercive isomorphism, cohesive trade relationships between countries generate coercive and normative effects, and role-equivalent trade relationships result in learning-based and competitive imitation.
This paper examines some of the important organizational consequences of popular management techniques. Using informational reports on quality, empowerment, and teams, as well as a measure of the implementation of total quality management programs, we found that companies associated with popular management techniques did not have higher economic performance. Nevertheless, these same companies were more admired, perceived to be more innovative, and rated higher in management quality. Higher pay was also given to chief executives when their companies were associated with these management trends. These results provide strong support for institutional theory, demonstrating how both internal and external legitimacy can be gained by using popular management techniques. They also extend institutional theory from its usual emphasis on organization-environment relations to new within-firm dynamics.
This paper analyzes whether the reduction of pollution emissions improves a firm’s economic performance through the increase in sales to environmentally conscious customers and the cost reductions associated with the improvement in productivity. Because the selection of the control (end-of-pipe) or prevention (cleaner production) approach differently influences the effect through the improvement in productivity, this is also considered. Using panel data for Japanese manufacturing firms over the period 2002–2008, the findings indicate that firms that have reduced their pollution emissions can increase their economic performance through the increase in demand for their products and an improvement in productivity. However, the latter is conditional, and so the prevention approach is preferred.
Since the release of ISO 14001 in 1996, China has witnessed a surge in the number of ISO 14001 certification. As an international environmental standard, ISO 14001 has two basic functions: one is playing as an environmental management instrument, while the other as a signal of firms’ better environmental performance to stakeholders. Based on the stakeholder theory, we have examined the effects of community, regulatory and some organizational stakeholders on the diffusion of ISO 14001 certification at Chinese provincial levels. Using a panel data of ISO 14001 certification from each province for the period of 2004–2008 in China, empirical evidence of such relations is found. The finding reveals that signaling to foreign customers and community stakeholders plays a dominant role in encouraging diffusion of ISO 14001 certification. However, as an important organizational stakeholder, foreign investors have shown no significant effect on the diffusion of ISO 14001 in China.
The ISO 14001 Environmental Management System Standard has become a wide-spread administrative tool in the field of corporate responses to sustainability. As a framework for the administering of sustainable development in firms, ISO 14001 in itself does not speak of strategic planning for sustainability, nor of upstream solutions of problems at their source. Furthermore, confusion exists with respect to where ISO 14001 fits in relation to a complex array of tools for sustainable development. This research proposes the integration of a “backcasting” method that embodies a five-level approach to planning in complex systems, with the ISO 14001 planning process requirements. The result is a strategic planning framework that focuses on the minimum requirements for a sustainable society and embeds them in a process to assist firms in their sustainability initiatives.
During recent decades, the impact of industrial organisations on the environment has become clearly evident. It has also become more difficult to hide and more expensive. Globally, this has caused many enterprises to put all their efforts into seeking management instruments that allow them to reduce their negative impact on the environment as well as improving their economic efficiency. This environmental interest is either voluntary or forced by customers or by legal pressure. Environmental Management Systems (EMSs) are among the many tools that have appeared to fulfil that goal and that have drawn international researchers’ attention. The most popular system and the one most often used is the ISO 14001 standard.This paper examines empirically the influence that this certification exerts on the company’s pollutant emission policy. The analysis was carried out in four regions of Spain: Asturias, Cantabria, Galicia and Castilla-León and includes 126 industrial organisations. The goal of this paper is to investigate the behaviour of the companies according to their emissions policies once they have achieved the ISO 14001 certification. In the paper the Toxics Release Index of 56 certified companies is compared with the Index of 70 non-certified companies. Through a statistical analysis based on the Student’s t-test and the Mann–Whitney U test, it was concluded that ISO 14001 does not represent an environmental proactivity signal clearly enough to result in a reduction of the company’s environmental polluting index.
How does a business firm manage its relationship with the natural environment? What are the factors that influence the choice of such strategies? Does industry type matter? The authors introduce and operationalize the concept of corporate environmentalism in an effort to answer these questions. Using stakeholder theory, the authors identify four important antecedents to corporate environmentalism, namely, public concern, regulatory forces, competitive advantage, and top management commitment. The authors then use a political - economic framework to develop testable hypotheses. To test the hypotheses, the authors perform multigroup path analysis on data gathered from more than 240 firms. They find that corporate environmentalism is related to all hypothesized antecedents and that industry type moderates several of those relationships. In the high environmental impact sector, public concern has the greatest impact on corporate environmentalism, followed by regulatory forces. In the moderate environmental impact sector, competitive advantage has the greatest impact on corporate environmentalism, followed by regulatory forces. There are strong direct and mediating influences from top management commitment, which is the antecedent with the greatest impact on both industry groups. The influences of regulatory forces, public concern, and competitive advantage are all significantly mediated by top management commitment and moderated by industry type. The empirical findings and the ensuing discussion will be of interest to managers and public policy officials.
This article suggests that the context and process of resource selection have an important influence on firm heterogeneity and sustainable competitive advantage. It is argued that a firm’s sustainable advantage depends on its ability to manage the institutional context of its resource decisions. A firm’s institutional context includes its internal culture as well as broader influences from the state, society, and interfirm relations that define socially acceptable economic behavior. A process model of firm heterogeneity is proposed that combines the insights of a resource-based view with the institutional perspective from organization theory. Normative rationality, institutional isolating mechanisms, and institutional sources of firm homogeneity are proposed as determinants of rent potential that complement and extend resource-based explanations of firm variation and sustainable competitive advantage. The article suggests that both resource capital and institutional capital are indispensable to sustainable competitive advantage. © 1997 John Wiley & Sons, Ltd.
This article reports the findings of a large-scale research project on environmental new product development (ENPD) within British manufacturers. A major contribution of this article is the attempt to integrate new product development (NPD) and environmental management philosophies in order to develop and empirically test a theoretical framework for ENPD and performance. As such, it is one of the first studies to go beyond the anecdotal evidence in the extant literature, to empirically research ENPD activities and their impacts. This contributes to the debate about the potential for firms to be “green and competitive” by examining the relationship between ENPD activities and market and eco-performance for environmental new products. Contrary to the popular perception, the results suggest that there is more synergy than conflict between the conventional and environmental product development paradigms.
The main purpose of this study is to investigate cleaner production practices in Turkey. This paper also examines the approaches to environmental management, environmental technologies and environmental performance of big firms in Turkey. For this purpose, a questionnaire survey was designed. According to this survey, it can be stated that the approaches of the firms to environmental management are closer to the proactive approach but the cost of the environmentally conscious business practices is still considered as an obstacle for being more proactive on environmental management. The fact that ISO 14001 EMS motivates the firms to use resources for pollution prevention and to apply cleaner production practices can be stated from the results of the survey. According to the results of the survey, it can be stated that ISO 14001 EMS enhances the environmental performance of the firms.
Construction firms all over the world are increasingly seeking to obtain ISO 14001. The rapid growth in the number of ISO 14001 applications in Turkey and the share from the construction sector in this number, as a leading sector, is rather striking. This paper, using a structured questionnaire survey, investigates whether there is any dependence or relation between construction firms characteristics and having ISO 14001 certification and any difference in the perceptions related to ISO 14001 by considering both firm characteristics and two different groups as certified and non-certified firms. Additionally, it examines the perceived benefits of having ISO 14001 for certified construction firms. According to the results of analysis, although there is not any difference in perceptions on ISO 14001 certification in terms of firm characteristics and being as certified and non-certified and their both positive opinions about ISO 14001 certification. There is a relation between firms characteristics and having ISO 14001 certification. ISO 14001 certification contributes to construction firms not only in terms of environmental benefits but also with corporate management and marketing effects, thus verifying that the ISO 14001 has a positive impact on the Turkish construction sector.
This paper aims to look mainly into perceived benefits derived from ISO 14001 registrations for firms with in a newly industrialized country like Malaysia. The results of a survey on Malaysian firms registered with ISO 14001 indicate that there were benefits to be gained from implementing ISO 14000 Standards. Generally, the benefits were rather similar to those documented for companies that adopted ISO 14000 in industrialized countries. ISO 14000 implementation was crucial in bringing about effective environmental management, and reduction of damage to the environment, as well as improvement of the company's image and operations.
Companies are increasingly asked to provide innovative solutions to deep-seated problems of human misery, even as economic theory instructs managers to focus on maximizing their shareholders' wealth. In this paper, we assess how organization theory and empirical research have thus far responded to this tension over corporate involvement in wider social life. Organizational scholarship has typically sought to reconcile corporate social initiatives with seemingly inhospitable economic logic. Depicting the hold that economics has had on how the relationship between the firm and society is conceived, we examine the consequences for organizational research and theory by appraising both the 30-year quest for an empirical relationship between a corporation's social initiatives and its financial performance, as well as the development of stakeholder theory. We propose an alternative approach, embracing the tension between economic and broader social objectives as a starting point for systematic organizational inquiry. Adopting a pragmatic stance, we introduce a series of research questions whose answers will reveal the descriptive and normative dimensions of organizational responses to misery.
This paper focuses on the role of ISO 14001 in environmental supply management practices in Swedish companies. It discusses the existing and potential role of ISO 14001 for three key operational tasks of environmental supply chain management: to communicate the requirements to the supplier, to motivate and enable the supplier, and to verify that the supplier follows the requirements. The study used three different research methods: interviews with environmental managers, focus group discussions and a survey of two multinational companies and their operating units in several countries.It concludes that cooperation between the purchasing and environmental functions within a company is frequently not sufficiently achieved in implementation of ISO 14001; this makes the communication of customer requirements to suppliers less efficient. Building close relationships with suppliers is important to overcome initial difficulties, but this often conflicts with having a large supplier base. For the supplier to have an ISO 14001 certificate is seldom an absolute requirement, however, preference is often given to such suppliers. The value of the ISO 14001 certificate, as a proof of environmental performance, is a combination of the supplier's environmental ambitions, the advancement of supply chain practices of the customer and the ambitions of the certification bodies. Supplier audits are not commonly used as they are resource-consuming. Monitoring and verification approaches need further development.
The EMAS Regulation (Reg 761/01 EC) is an EU scheme for the implementation of an Environmental Management System (EMS) by any organization, implemented by the European Commission since the year 1993. The EMS has been originally proposed both by the European Commission and by ISO as the frontrunner of a series of policy tools that were conceived to enable companies to simultaneously pursue environmental objectives and competitive targets (in a synergetic way). Based on the unique dataset of the EVER project, this paper investigates whether or not an EMS implemented within the EMAS Regulation has an effect on firm performance both from an environmental and a competitive point of view. The econometric analysis shows a positive impact of well-designed environmental management system on environmental performance and, as a consequence, on technical and organizational innovations. Effects on other competitive variable as market performance, resource productivity and intangible asset are not strongly supported
Operations management researchers and practitioners face new challenges in integrating issues of sustainability with their traditional areas of interest. During the past 20 years, there has been growing pressure on businesses to pay more attention to the environmental and resource consequences of the products and services they offer and the processes they deploy. One symptom of this pressure is the movement towards triple bottom line reporting (3BL) concerning the relationship of profit, people and the planet. The resulting challenges include integrating environmental, health, and safety concerns with green product design, lean and green operations, and closed-loop supply chains. We review these and other 'sustainability' themes covered in the first 50 issues of Production and Operations Management and conclude with some thoughts on future research challenges in sustainable operations management.
While building their reputation as a major manufacturing prowess, Chinese industry has experienced increasing ecological pressures from a variety of institutional players including market, governmental, and competitive sources. In response to these pressures some organizations initiate emergent green supply chain management (GSCM) practices. A moderated hierarchical regression analysis of data provided by 341 Chinese manufacturer respondents was completed to examine the relationships between GSCM practice, environmental and economic performance, incorporating three moderating factors market, regulatory and competitive institutional pressures. The results reveal that: (1) Chinese manufacturers have experienced increasing environmental pressure to implement GSCM practices; (2) The existence of market (normative) and regulatory (coercive) pressures influences organizations to have improved environmental performance, especially when these pressures cause adoption of eco-design and green purchasing practices; (3) Manufacturers facing higher regulatory pressures tend to implement green purchasing and investment recovery; (4) Competitive (mimetic) pressure existence significantly improves the economic benefits from adoption of a number of GSCM practices with no deleterious influences on environmental performance; (5) None of the institutional pressures contribute to or lessen possible 'win-win' situations for organizations. Implications for operations strategists and organizational sustainability planners from these relationships are also discussed.
Increasing pressures from a variety of directions have caused the Chinese automobile supply chain managers to consider and initiate implementation of green supply chain management (GSCM) practices to improve both their economic and environmental performance. Expanding on some earlier work investigating general GSCM practices in China, this paper explores the GSCM pressures/drivers (motivators), initiatives and performance of the automotive supply chain using an empirical analysis of 89 automotive enterprises within China. The results show that the Chinese automobile supply chain enterprises have experienced high and increasing regulatory and market pressures and at the same time have strong internal drivers for GSCM practice adoption. However, their GSCM implementation, especially with consideration of external relationships, is poor. Therefore, GSCM implementation has only slightly improved environmental and operational performance, and has not resulted in significant economic performance improvement. In furthering this analysis we investigate one specific organization in this supply chain, the Dalian Diesel Engine Plant, and how this pioneering company has addressed the issues identified by the broader empirical analysis.
Purpose – Green supply chain management (GSCM) has emerged as a key approach for enterprises seeking to become environmentally sustainable. This paper aims to evaluate and describe GSCM drivers, practices and performance among various Chinese manufacturing organizations. Design/methodology/approach – Based on a literature review, four propositions are put forward. An empirical study using survey research was completed. The survey questionnaire was designed with 54 items using literature and industry expert input. An exploratory factor analysis was conducted to derive groupings of GSCM pressures, practice and performance from the survey data which included 314 responses. A categorical and descriptive nature of the results is then presented with an evaluation and comparative analysis with previous research findings. Findings – Chinese enterprises have increased their environmental awareness due to regulatory, competitive, and marketing pressures and drivers. However, this awareness has not been translated into strong GSCM practice adoption, let alone into improvements in some areas of performance, where it was expected. Research limitations/implications – The investigation and its findings are still relatively exploratory. Future research can investigate relationships identified in this work, as well as tease out mediating and moderating relationships. A more broadly-based and random sample study across China would also provide a better picture of this GSCM situation. Practical implications – Efforts made by Chinese enterprises together with the Chinese government have established a good foundation for further development. After China's entry into the WTO, a win-win relationship between foreign companies and Chinese manufacturers is still possible. Originality/value – This work is one of the few and pioneering efforts to investigate GSCM practices in China.