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The impact of sustainable manufacturing practices and innovation performance on economic sustainability

The emergence of the concept of sustainability reflects a decisive change in global thinking, thus forcing firms to reconsider the approach in conducting their business operations.With an aim to boost economic development, firms need to re-establish their corporate strategy by introducing and imple...

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Main Authors: Hami, Norsiah, Muhamad, Mohd Razali, Ebrahim, Zuhriah
Format: Article
Language:English
Published: Elsevier B.V. 2015
Subjects:
HD28 Management. Industrial Management
TS Manufactures
Online Access:http://repo.uum.edu.my/18368/1/P%20CIRP%2026%20%202015%20%20%20190%20%E2%80%93%20195.pdf
http://repo.uum.edu.my/18368/
http://doi.org/10.1016/j.procir.2014.07.167
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spelling my.uum.repo.183682016-06-28T07:19:40Z http://repo.uum.edu.my/18368/ The impact of sustainable manufacturing practices and innovation performance on economic sustainability Hami, Norsiah Muhamad, Mohd Razali Ebrahim, Zuhriah HD28 Management. Industrial Management TS Manufactures The emergence of the concept of sustainability reflects a decisive change in global thinking, thus forcing firms to reconsider the approach in conducting their business operations.With an aim to boost economic development, firms need to re-establish their corporate strategy by introducing and implementing more integrated sustainable practices.Prior researchers believe that sustainable manufacturing practice (SMP),defined as a firm’s intra- and inter organizational practices that integrate environmental, economic and social aspects into operational and business activities, would lead to better firm performance.The research reported in this paper aims to analyze the effect of SMP on economic sustainability (ES) and the mediated effect of SMP on ES through innovation performance (IP).Using survey data collected from 150 Malaysian manufacturers, this paper empirically examines the relationships that exist among SMP (internal and external SMP), IP (product, process,organizational and marketing), and ES.Adopting PLS-SEM technique, the study found that internal SMP has a positive effect on ES and process innovation partially mediates this internal SMP-ES link.Surprisingly, although the relationship between external SMP and ES is not significant, incorporating product and process innovations into this link have changed the significance of the relationship.In general, the results have empirically proven the role of SMP and IP in influencing the economic performance.Thus, it is suggested that instead of acting on well intentioned impulses or reacting to external pressure, firms should clearly defined and grasp economic opportunities gained from being environmentally friendly and socially responsible. Elsevier B.V. 2015 Article PeerReviewed application/pdf en cc4_by http://repo.uum.edu.my/18368/1/P%20CIRP%2026%20%202015%20%20%20190%20%E2%80%93%20195.pdf Hami, Norsiah and Muhamad, Mohd Razali and Ebrahim, Zuhriah (2015) The impact of sustainable manufacturing practices and innovation performance on economic sustainability. Procedia CIRP, 26. pp. 190-195. ISSN 2212-8271 http://doi.org/10.1016/j.procir.2014.07.167 doi:10.1016/j.procir.2014.07.167
institution Universiti Utara Malaysia
building UUM Library
collection Institutional Repository
continent Asia
country Malaysia
content_provider Universiti Utara Malaysia
content_source UUM Institutionali Repository
url_provider http://repo.uum.edu.my/
language English
topic HD28 Management. Industrial Management
TS Manufactures
spellingShingle HD28 Management. Industrial Management
TS Manufactures
Hami, Norsiah
Muhamad, Mohd Razali
Ebrahim, Zuhriah
The impact of sustainable manufacturing practices and innovation performance on economic sustainability
description The emergence of the concept of sustainability reflects a decisive change in global thinking, thus forcing firms to reconsider the approach in conducting their business operations.With an aim to boost economic development, firms need to re-establish their corporate strategy by introducing and implementing more integrated sustainable practices.Prior researchers believe that sustainable manufacturing practice (SMP),defined as a firm’s intra- and inter organizational practices that integrate environmental, economic and social aspects into operational and business activities, would lead to better firm performance.The research reported in this paper aims to analyze the effect of SMP on economic sustainability (ES) and the mediated effect of SMP on ES through innovation performance (IP).Using survey data collected from 150 Malaysian manufacturers, this paper empirically examines the relationships that exist among SMP (internal and external SMP), IP (product, process,organizational and marketing), and ES.Adopting PLS-SEM technique, the study found that internal SMP has a positive effect on ES and process innovation partially mediates this internal SMP-ES link.Surprisingly, although the relationship between external SMP and ES is not significant, incorporating product and process innovations into this link have changed the significance of the relationship.In general, the results have empirically proven the role of SMP and IP in influencing the economic performance.Thus, it is suggested that instead of acting on well intentioned impulses or reacting to external pressure, firms should clearly defined and grasp economic opportunities gained from being environmentally friendly and socially responsible.
format Article
author Hami, Norsiah
Muhamad, Mohd Razali
Ebrahim, Zuhriah
author_facet Hami, Norsiah
Muhamad, Mohd Razali
Ebrahim, Zuhriah
author_sort Hami, Norsiah
title The impact of sustainable manufacturing practices and innovation performance on economic sustainability
title_short The impact of sustainable manufacturing practices and innovation performance on economic sustainability
title_full The impact of sustainable manufacturing practices and innovation performance on economic sustainability
title_fullStr The impact of sustainable manufacturing practices and innovation performance on economic sustainability
title_full_unstemmed The impact of sustainable manufacturing practices and innovation performance on economic sustainability
title_sort impact of sustainable manufacturing practices and innovation performance on economic sustainability
publisher Elsevier B.V.
publishDate 2015
url http://repo.uum.edu.my/18368/1/P%20CIRP%2026%20%202015%20%20%20190%20%E2%80%93%20195.pdf
http://repo.uum.edu.my/18368/
http://doi.org/10.1016/j.procir.2014.07.167
_version_ 1644282442469605376
score 13.211869

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