Search results
1 – 10 of over 9000Muhammad Azhar Khalil, Rashid Khalil and Muhammad Khuram Khalil
Historically, investments in innovation are perceived as one of the paramount decisions businesses opt to thrive and the impact of such investments on businesses' market…
Abstract
Purpose
Historically, investments in innovation are perceived as one of the paramount decisions businesses opt to thrive and the impact of such investments on businesses' market performance is well documented in the literature. However, the environmental aspects of making such investments are yet to be addressed by the firms, which in turn, present considerable damage to the environment. Coupling with the natural resource-based view (NRBV) and the stakeholder theory of the firm, this research builds on an earlier work of Khalil and Nimmanunta (2021) in an attempt to examine the link between innovation and firms' environmental and financial value. The authors extend their analysis and document a more consistent approach to measuring environmental innovation which allows the authors to investigate the firms from three additional economies with respect to firms' investments in both traditional and environmental innovations.
Design/methodology/approach
The underlying models are tested using the time fixed-effects panel regression by utilizing information from publicly traded companies of ten Asian economies, including Japan, Hong Kong, Taiwan, Thailand, Turkey, Malaysia, Singapore, India, Indonesia, and Saudi Arabia. The reported sample covers annual firm-level ESG data obtained from Thomson Reuters' Datastream and Refinitiv Eikon during the 2015–2019 period.
Findings
This research offers support to the conventional wisdom that innovation is advantageous to the firms' market value. The authors further decompose innovation into traditional innovation and environmental innovation. The findings of this research suggest that traditional innovation is favorable only for the firms' market valuation and traditional innovation is strongly ineffectual for the environment – traditional innovation produces sizeable environmental distress by contributing substantially to carbon emissions. In contrast, the resultant effects of investments in environmental innovation are evident to be instrumental for both firms' financial performance and the environment.
Research limitations/implications
This research has primarily focused on only two components of a company's environmental performance: reduction in carbon emissions (CO2) and corporate social responsibility (CSR). Given the complexity of firms' environmental strategies and the multidimensionality of the variable, which encompasses a wide range of corporate behavior in terms of relationships with communities, suppliers, consumers, and broader environmental responsibilities broadening the scope of the study by including other important aspects of environmental sustainability is, therefore, critical.
Practical implications
The findings of this research signify environmental innovation as one of the vital investment approaches as firms can exploit benefits related to the market from firms' sustainable practices, developing eco-friendly processes by introducing steady yet systematic chains of green products and services. Such products and services may have a feature of enhanced functionality with a better layout in terms of improved product life with better recycling options, and lower consumption and exploitation of energy and natural resources. These sustainable practices would be advantageous for the firms regarding the possibility of setting prices above the standard level through establishing green brands and gaining market share of environmentally anxious consumers. For those companies that are striving to take the leading role in the green industry and longing to seek superior returns on the companies' environmental investments, these benefits, in particular, are exceptionally critical to them.
Originality/value
The linkage between firms' financial and environmental performance in the context of simultaneous inclusion of both green and traditional innovations remains unclear and is yet to be investigated by researchers. Thus, this research shed light on the role of environmental innovation and traditional innovation on firms' environmental performance and financial performance. The authors utilize a novel dataset with a clear indication of measuring different elements of innovation that allows us to develop a more robust approach to corporates' environmental, social and governance (ESG) performance metrics having the slightest biases related to transparency and firm size.
Details
Keywords
Zehui Bu, Jicai Liu and Xiaoxue Zhang
The paper aims to elucidate effective strategies for promoting the adoption of green technology innovation within the private sector, thereby enhancing the value of public–private…
Abstract
Purpose
The paper aims to elucidate effective strategies for promoting the adoption of green technology innovation within the private sector, thereby enhancing the value of public–private partnership (PPP) projects during the operational phase.
Design/methodology/approach
Utilizing prospect theory, the paper considers the government and the public as external driving forces. It establishes a tripartite evolutionary game model composed of government regulators, the private sector and the public. The paper uses numerical simulations to explore the evolutionary stable equilibrium strategies and the determinants influencing each stakeholder.
Findings
The paper demonstrates that government intervention and public participation substantially promote green technology innovation within the private sector. Major influencing factors encompass the intensity of pollution taxation, governmental information disclosure and public attention. However, an optimal threshold exists for environmental publicity and innovation subsidies, as excessive levels might inhibit technological innovation. Furthermore, within government intervention strategies, compensating the public for their participation costs is essential to circumvent the public's “free-rider” tendencies and encourage active public collaboration in PPP project innovation.
Originality/value
By constructing a tripartite evolutionary game model, the paper comprehensively examines the roles of government intervention and public participation in promoting green technology innovation within the private sector, offering fresh perspectives and strategies for the operational phase of PPP projects.
Details
Keywords
Binh Bui, Zichao (Alex) Wang and Matthäus Tekathen
This study examines how carbon tools, including carbon accounting and management tools, can be created, used, modified and linked with other traditional management controls to…
Abstract
Purpose
This study examines how carbon tools, including carbon accounting and management tools, can be created, used, modified and linked with other traditional management controls to materialise and effectuate organisations’ response strategies to multiple interacting logics in carbon management and the role of sustainability managers in these processes.
Design/methodology/approach
This study utilises the construct of accounting toolmaking, which refers to practices of adopting, adjusting and reconfiguring accounting tools to unfold how carbon tools are used as means to materialise responses to multiple interacting carbon management logics. It embraces a field study approach, whereby 38 sustainability managers and staff from 30 organisations in New Zealand were interviewed.
Findings
This study finds that carbon toolmaking is an important means to materialise and effectuate organisations’ response strategies to multiple interacting carbon management logics. Four response strategies are identified: separation, selective coupling, combination and hybridisation. Adopting activity involves considering the additionality, detailing, localising and cascading of carbon measures and targets and their linkage to the broader carbon management programme. In adjusting carbon tools, organisations adapt the frequency and orientation of carbon reporting, intensity of carbon monitoring and breadth of carbon information sharing. Through focusing on either procedural sequencing, assimilating, equating or integrating, toolmaking reconfigures the relationship between carbon tools and traditional management control systems. Together, these three toolmaking activities can be configured differently to construct carbon tools that are fit for purpose for each response strategy. These activities also enact certain roles on sustainability managers in the process of representing, communicating and/or transferring carbon information knowledge, which also facilitate different response strategies.
Practical implications
The study demonstrates the various carbon toolmaking practices that allow organisations to handle the multiple interacting logics in carbon management. The findings provide suggestions for organisations on how to adopt, adjust and reconfigure carbon tools to better embed the ecological logic in organisations’ strategies and operations.
Originality/value
The authors identify how carbon toolmaking materialises and effectuates organisations’ responses to multiple interacting logics in carbon management.
Details
Keywords
Mitali Panchal Arora, Sumit Lodhia and Gerard William Stone
With the accelerated global adoption of integrated reporting, this paper aims to understand the role of practicing accountants in integrated reporting.
Abstract
Purpose
With the accelerated global adoption of integrated reporting, this paper aims to understand the role of practicing accountants in integrated reporting.
Design/methodology/approach
Using the case study approach, data was collected from semi-structured interviews in six international organisations that have adopted integrated reporting. Institutional work provided the theoretical insights for this study.
Findings
The study found that accountants were an indispensable part of the integrated reporting process because of their strength and knowledge in corporate reporting. However, despite having the potential to engage, it was noted that accountants currently do not apply their key reporting skills in the integrated reporting context. It was observed that accountants’ roles were limited to carrying out their traditional routine financial reporting activities including reporting on the financial aspects of the report, developing key performance indicators and assisting with assurance related tasks.
Research limitations/implications
This study adds to the limited literature by providing a comprehensive understanding of how accountants are currently involved in integrated reporting. This study suggests that accountants are seeking to maintain their existing institutional practices.
Practical implications
A need for accountants to move beyond maintaining their institutional roles and engage more extensively in integrated reporting is emphasised.
Originality/value
Through its focus on human agency, this study applied institutional work to integrated reporting, thereby expanding literature on integrated reporting and the roles performed by accountants in this process. This study also contributes to the conceptualisation of maintaining institutions strategies through the development of the cooperative strategy.
Details
Keywords
Ying Ye, Kwok Hung Lau and Leon Teo
This study aims to explore how green supply chain management (GSCM) strategies can be effectively implemented for business supply chain operations, relationship management and…
Abstract
Purpose
This study aims to explore how green supply chain management (GSCM) strategies can be effectively implemented for business supply chain operations, relationship management and product design to gain green competitive advantages.
Design/methodology/approach
An exploratory in-depth case study was conducted with one of the largest Chinese electronics manufacturers that is considered a leading GSCM adopter in the industry, to understand how the company adopts green supply chain practices across its multiple product lines.
Findings
The findings show that businesses can build different green focuses across GSCM elements of green operation, green relationship management and green product design to form diverse hybrid strategic solutions. They include green control, lean, leagile, agile and clean innovation while taking consideration of supply chain type and product lifespan. A taxonomy of four key GSCM strategic combinations is proposed based on the findings. The strategies align with green demand and supply chain characteristics balancing a series of business competitive objectives in terms of reducing pollution and waste, improving green cost efficiency, enhancing green demand innovation and building green service effectiveness.
Research limitations/implications
This study lends insight into the strategic alignment relationships between product supply chain types and approaches to GSCM.
Practical implications
The findings of this study can support industry practitioners in formulating aligned GSCM strategies based on product types to achieve optimal results.
Social implications
Optimised green supply chain design, operations and relationship management incorporating product attributes can help further minimise negative impacts of business activities on the environment.
Originality/value
This research provides a systematic understanding of how product supply chain types can influence GSCM strategy formulation. It gives a holistic picture of how hybrid choices of strategies with green supply chain operations, relationship management and product design can be formulated based on product and supply chain characteristics.
Details
Keywords
The objective of this chapter is to identify the key characteristics of Global Services businesses that will thrive and achieve success in the future. These factors are integrated…
Abstract
The objective of this chapter is to identify the key characteristics of Global Services businesses that will thrive and achieve success in the future. These factors are integrated into three main pillars, which we refer to as the Triple-Win. The first and most obvious pillar is technology as a tool. The second pillar is the design and sustainability of the business model, without which the previous factor would be merely a cost and not an investment. And last but not the least, there is the purpose which gives meaning to the proposal, focusing on the human being and their environment. The DIDPAGA business model sits at the intersection of these three elements.
Details
Keywords
Sajid Ullah, Farman Ullah Khan and Imran Saeed
The aim of the paper is to rank and analyze the key strategies to sustainable finance adoption in the manufacturing sector using Fuzzy Delphi method (FDM), Interpretive Structural…
Abstract
Purpose
The aim of the paper is to rank and analyze the key strategies to sustainable finance adoption in the manufacturing sector using Fuzzy Delphi method (FDM), Interpretive Structural Modeling (ISM) and MICMAC (impact matrix cross-reference multiplication applied to a classification) analysis.
Design/methodology/approach
The study develops a novel framework to identify and analyze the mutual relationships among set of sustainable policies using extensive literature survey and experts opinion. Initially, the study found 14 strategies to implement sustainable finance with the help of vast literature. Then, the list of identified factors were screened through Fuzzy Delphi Method (FDM). Based on driving and dependence power, the final list of factors are divided into three categories.
Findings
The study findings reveal that “environmental rules and practices”, “financial incentives, tax reduction and subsidy”, have strongest driving power for promoting sustainable financial system in Pakistani manufacturing sector. Furthermore, “environmental awareness” and “long term vision” are found to be highly influenced by other corresponding elements in a system.
Practical implications
The ISM approach assists professionals, academics, and managers in identifying and ranking policies in implementing green business techniques. The hierarchical representation of ISM results provides a roadmap for decision-makers to navigate and prioritize factors effectively, facilitating the implementation of strategies that contribute to sustainable growth within organizations.
Social implications
The study results provide interesting clues regarding green finance policies that provide the foundations, incentives, protections or other provisions that support the ecological conservancy’s mission. Specifically, the findings guide that government must offer research grants to private enterprises, research and development institutions, and universities to promote environmental protection and develop transformative technologies such as waste recycling, renewable energy, carbon capture, and power consumption.
Originality/value
The exploration of strategies for sustainable finance adoption with the help of mixed methodological approach and classification of these strategies on the basis of importance level is a new attempt in the field of manufacturing sector.
Details
Keywords
Abstract
Purpose
Emotions, understood as evolving mental states, are pivotal in shaping individuals“' decision-making, especially in ambiguous information evaluation, probability estimation of events, and causality analysis. Public–private partnership (PPP) projects represent a confluence of “economic–environmental–social” dimensions, wherein stakeholder behavior follows the sequential progression of “cognition–emotion–action.” Consequently, comprehending the effects of emotional shifts on stakeholder's decision-making processes is vital to fostering the sustainability of PPP projects.
Design/methodology/approach
The paper utilizes rank-dependent expected utility and evolutionary game theory to systematically examine the influence of emotional factors on stakeholders' behavior and decision-making processes within PPP projects. The paper integrates three emotional state functions—optimism, pessimism and rationality—into the PPP framework, highlighting the intricate interactions among the government, private sector, surrounding public and the media. Furthermore, the paper amalgamates the evolutionary pathways of environmental rights incidents with the media's role. Through equilibrium analysis and numerical simulation, the paper delves into the diverse interplay of emotions across different phases of the environmental rights incident, assessing the impact of these emotions on the evolutionary game's equilibrium results.
Findings
Emotions significantly influence the microlevel decisions of PPP stakeholders, adapting continually based on event dynamics and media influences. When the private sector demonstrates optimism and the surrounding public leans toward rationality or pessimism, the likelihood of the private sector engaging in speculative behavior escalates, while the surrounding public refrains from adopting a supervisory strategy. Conversely, when the private sector is pessimistic and the public is optimistic, the system fails to evolve a stable strategy. However, when government regulation intensifies, the private sector opts for a nonspeculative strategy, and the surrounding public adopts a supervisory strategy. Under these conditions, the system attains a relatively optimal state of equilibrium.
Originality/value
The paper develops a game model to examine the evolutionary dynamics between the surrounding public and private sectors concerning environmental rights protection in waste incineration PPP projects. It illuminates the nature of the conflicting interests among project participants, delves into the impact of emotional factors on their decision-making processes and offers crucial perspectives for the governance of such partnerships. Furthermore, this paper provides substantive recommendations for emotional oversight to enhance governance efficacy.
Details
Keywords
This chapter wants to understand under which circumstances and conditions non-traditional aids are effective in the strategic process. This study builds an agent-based…
Abstract
This chapter wants to understand under which circumstances and conditions non-traditional aids are effective in the strategic process. This study builds an agent-based computational simulation model – the S-uFUNK 2.1.0 – to explore the research question. The model features a group of managers that seeks to interpret environmental cues using both traditional and non-traditional tools. When interpretations converge, the group then settles on different focus areas to define a business strategy for their organization. The process is set in a way such that 11 parameters can be manipulated to explore the different conditions under which non-traditional aids are of use. Results suggest that non-traditional aids differ from traditional aids only in limited circumstances and that social dynamics and dispositions within the group are crucial. In general, the simulation helps us reflect on the way in which we consider traditional aids to strategy. In fact, if they are no different than non-traditional aids, their effectiveness is directly challenged.
Details