Green Organizational Practices for Green Product Development: The Green Influence of Transformational Leadership

Abstract

Growing environmental challenge awareness among consumers is today's business reality that pushes for sustainable product development. Governments, industries, and consumers' attention are significantly moved from traditional products to eco-friendly product development. Green product development is the future for manufacturing businesses' survival in most markets. Green product development is an emerging phenomenon and, unfortunately, lacks theoretical and empirical research regarding effective organizational policies and practices for green product development. This study aims at filling research gaps towards green product development by highlighting green employee aspects influenced by leadership for sustainable business growth. The study hypothesized relations between the green effect of transformational leadership on green product development as an outcome through green behaviour, green climate, and green innovative creativity. Data was collected from small and medium enterprises (SMEs) of Karachi through a self-administered survey questionnaire. Results revealed significant support for hypothesized relations through the partial least square statistical tool. This study contributes theoretical and empirical advancement in past literature wherein leadership style influences employee behaviour that leads to predict product development from an environmental perspective. Study inferences suggest for visionary green leadership style for sustainable business growth. Limitations of this study regarding other variable inclusiveness, sampling, and geography are potential extensions for further scholarly investigation.

Citation

Samad, A., Bashir, S. and Syed, S. (2023), "Green Organizational Practices for Green Product Development: The Green Influence of Transformational Leadership", Raza, S.A., Tunio, M.N., Ali, M. and Puah, C.H. (Ed.) Entrepreneurship and Green Finance Practices, Emerald Publishing Limited, Leeds, pp. 239-265. https://doi.org/10.1108/978-1-80455-678-820231013