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Greening manufacturing: the role of institutional pressure and collaboration in operational performance

Aamir Rashid (Department of Business and Economics, School of Business and Information Systems, York College, City University of New York (CUNY), Jamaica, New York, USA)
Rizwana Rasheed (Department of Management, Lucille and Jay Chazanoff School of Business, College of Staten Island, City University of New York (CUNY), Staten Island, New York, USA)
Nezih Altay (Department of Management and Entrepreneurship, DePaul University, Chicago, Illinois, USA)

Journal of Manufacturing Technology Management

ISSN: 1741-038X

Article publication date: 1 October 2024

131

Abstract

Purpose

Environmental concerns, government action and activism have increased the bar for how businesses operate. The United Nations also suggested sustainable performance in their SDG-12 and SDG-13 to achieve sustainability by 2030. Therefore, this research aimed to examine environmental and operational performance in the manufacturing context and how institutional pressure and manufacturing supply chain collaboration affect performance.

Design/methodology/approach

Data were collected from 207 manufacturing firms using purposive sampling. The hypotheses were tested through a Covariance-Based Structural Equation Modeling approach with the help of IBM SPSS AMOS version 22.0. The study conducted an explanatory factor analysis and found two sub-constructs (higher-order) for “institutional pressure.”

Findings

The findings illustrated that environmental performance significantly mediates the relationship between manufacturing supply chain collaboration and operational performance. The manufacturing supply chain collaboration significantly directly and indirectly affected operational performance. Likewise, institutional pressure was a crucial construct for manufacturing supply chain collaboration.

Originality/value

In earlier studies, the relationships of study variables were examined individually. However, this study validated all the relationships in an integrated model with one variable (institutional pressure) in higher order. The study is grounded in institutional and stakeholder theory and contributes to the literature on green measures. At the operational level, the research can assist managers in comprehending the function of various manufacturing supply chain players to assist the eco-friendly practices that help to achieve SDG-12 (Responsible Consumption and Production) and SDG-13 (Climate Action) by 2030.

Keywords

Acknowledgements

This research received no funding or grant from any institution/organization.

Citation

Rashid, A., Rasheed, R. and Altay, N. (2024), "Greening manufacturing: the role of institutional pressure and collaboration in operational performance", Journal of Manufacturing Technology Management, Vol. ahead-of-print No. ahead-of-print. https://doi.org/10.1108/JMTM-04-2024-0194

Publisher

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Emerald Publishing Limited

Copyright © 2024, Emerald Publishing Limited

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