Modeling the relationship between organizational performance and green supply chain practices using canonical correlatio
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Modeling the relationship between organizational performance and green supply chain practices using canonical correlation analysis Bothinah Altaf1 • Sadia Samar Ali2
•
Gerhard-Wilhelm Weber3
Ó Springer Science+Business Media, LLC, part of Springer Nature 2020
Abstract The world is moving towards a environmental restricted scenario where excellence and growth in business is contingent upon good governance and excellent green sustainability related policies, strategies and long-term values to stay ahead in competition. Green supply chain management (GSCM) practices play an essential role in shaping the way of offering environmental sustainable products and services to customers. Existing research insists that multiple pressure push organizations to navigate towards ‘eco design’, ‘green purchasing’ and ‘cooperation with customers’ leading to green supply chain management. But how these factors exactly impact the organisational performance based on green supply chain management is being explored in this research. Hypothesis developed is tested by using multivariate canonical correlation analysis to model the regression relationship of 54 manufacturing organizations. Green purchasing and ecodesign are the main contributors of GSCM’s organisational performance. Cooperation with customer as major roadblock for organisational’s performance and requires management, to ponder over for improved results. The findings coincide with published research articles that were conducted in developing countries, such as Brazil and Jordan, to ensure environmental sustainability with the integration of GSCM practices. Keywords Canonical correlations Green supply chain Sustainability Environmental performance Economic performance
1 Introduction
Electronic supplementary material The online version of this article (https://doi.org/10.1007/s11276-020-02313-3) contains supplementary material, which is available to authorized users. & Sadia Samar Ali [email protected]; [email protected] Bothinah Altaf [email protected] Gerhard-Wilhelm Weber [email protected] 1
Statistics Department, Faculty of Science, King Abdul-Aziz University, Jeddah 21589, Saudi Arabia
2
Department of Industrial Engineering, College of Engineering: GC, King Abdul-Aziz University, P.O. Box 80204, Jeddah 21589, Saudi Arabia
3
Faculty of Engineering Management, Poznan University of Technology, Poznan, Poland
Sustainability is vital for businesses and governments as they are highly concerned about society, the environment, and economic development. Green supply chain management (GSCM) has been used by organizations to enhance the performance, and hence the environment is sustained. It offers organizations a proven way to reduce their environmental impacts while maintaining their profit margins and to discover market opportunities [1–3]. It is an indispensable approach that needs to be utilized, especially in developing countries where the healthy environment provides the necessities of life includ
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