Green purchasing capabilities and practices towards triple bottom line performance: Moderating effects of institutional pressure / Foo Meow Yee
Sustainability and environmental concerns have become mainstream issues. With increasing awareness and pressure from the general public and stakeholders, firms need to be more transparent in addressing and managing green issues of their supply base implementation. Many firms have concentrated sus...
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| Format: | Thesis |
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2018
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| Online Access: | http://studentsrepo.um.edu.my/8860/ http://studentsrepo.um.edu.my/8860/2/Foo_Mean_Yee.pdf http://studentsrepo.um.edu.my/8860/9/foo.pdf |
| Summary: | Sustainability and environmental concerns have become mainstream issues. With
increasing awareness and pressure from the general public and stakeholders, firms need
to be more transparent in addressing and managing green issues of their supply base
implementation. Many firms have concentrated sustainability efforts only in their
internal operations, but neglect the part in examining the green sustainability practices
through their supply base by utilizing the internal green purchasing capabilities to assess
the actual environmental, economic, and intangible outcomes of the adoption of green
purchasing practices. This study focuses on the sustainability practices of the green
purchasing practices (green supplier selection, development, collaboration and
evaluation) of firms, coupled with their internal green purchasing capabilities
(manufacturing, integration, intraorganisational, financial and innovation capabilities)
for the triple bottom line performance (environmental, economic, and intangible) of the
firms based on the Resource Based theory. The study also includes institutional pressure
(regulation, competitor and customer) as the moderator. The focus of this study is in the
context of Malaysian ISO 14001 accredited manufacturing firms. A total of 163 usable
response samples were drawn from all the 673 ISO 14001 certified companies in
Malaysia. These companies have been certified by the SIRIM and included also in the
list of the FMM directories. PLS analysis was used to test the hypotheses of this study
in the first stage. The adequacy of the measurement model was assessed, followed by
the examination of the structural relationship in the second stage. The results revealed
that manufacturing, financial, intraorganisational, and integration capabilities have
positive effects on green purchasing practices; the results found that green purchasing practices have positive effect on triple bottom line performance. On the other hand, the
survey results indicate that manufacturing, intraorganisational and integration
capabilities have positive effects on the triple bottom line performance of the firms, and
that green purchasing practices mediate these three capabilities and the triple bottom
line. Both financial and innovation capabilities have no significant effect on the triple
bottom line performance of the firms or any mediating effect on green purchasing
practices. This study found positive moderating effects of regulation, customer and
competitor pressure on manufacturing capabilities, and green purchase practices. On the
one hand, this study found only moderating effect of consumer pressure on
intraorganisational capabilities, but no moderating effect on all the other green
capabilities. Using the resource based theory for theory building and institutional
pressure as the moderator, this study explores how the purchasing functions should use
their supply base, together with their green purchasing capabilities toward the triple
bottom line performance of ISO 14001 manufacturing firms in Malaysia context. The
research findings provide useful insights for firms seeking to adopt green purchasing
programme and provide insights for professional organizations, regulators, and
legislators to further promote green purchasing inactivate |
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