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Despite differing strategies towards environmental sustainability in developed and developing nations, the manufacturing sector in these regional domains faces substantial environmental issues. The purpose of this study is to examine the green-lean-six sigma (GLSS) enablers and outcomes for enhancing environmental sustainability of manufacturing firms in both, a developed and developing country context by using an environment-centric natural resource-based view (NRBV).

First, a framework of GLSS enablers and outcomes aligned with the NRBV strategic capabilities is proposed through a systematic literature review. Second, this framework is used to empirically investigate the GLSS enablers and outcomes of manufacturing firms through in-depth interviews with lean six sigma and environmental consultants from New Zealand (NZ) and Pakistan (PK) (developed and developing nations).

Analysis from both regional domains highlights the use of GLSS enablers and outcomes under different NRBV capabilities of pollution prevention, product stewardship and sustainable development. A comparison reveals that NZ firms practice GLSS to comply with environmental regulatory requirements, avoid penalties and maintain their clean-green image. Conversely, Pakistani firms execute GLSS to reduce energy use, satisfy international customers and create a green image.

This paper provides new insights on GLSS for environmental sustainability which can assist industrial experts and academia for future strategies and research.

This is one of the early comparative studies that has used the NRBV to investigate GLSS enablers and outcomes in manufacturing firms for enhancing environmental performance comparing developed and developing nations

Prior studies mostly tested the association between carbon emissions and firm value in certain contexts. This study aims to advance the existing literature by concentrating on three indicators of greening in corporations namely resource use, emissions and eco-innovation, and examining their value relevance in the stock market at the global level. Furthermore, we deepen the investigation by exploring the moderating role of eco-innovation and the CSR committee between greening in corporations and market value.

The data for the study were retrieved from the Thomson Reuters Eikon database for the years between 2002 and 2019 and contain 17,961 firm-year observations which are analyzed through fixed-effects regression.

The results reveal that while resource usage is viewed as value-relevant by the market, the emissions and eco-innovation are not. However, despite eco-innovation per se not being value-relevant, its interaction with resource usage and emissions is value-relevant. Furthermore, CSR committees undertake a very critical role in translating greening practices into market value.

While the results for emissions support the cost-concerned school, the findings for resource usage confirm the value creation school. Furthermore, the interaction effect of eco-innovation and CSR committee confirms the resource-based theory and stakeholder theory, respectively.

Investors regard eco-innovation-induced pro-environmental behaviors as value-relevant. These results propose firms replace eco-innovation at the focal point in developing environmental strategies and connecting other greening efforts to it. Moreover, CSR committees are critical to corporations in translating greening practices into firm value by developing and implementing disclosure and communication strategies.

The study’s originality stems from investigating the synergetic effect that eco-innovation and CSR committees generate in translating greening practices to greater market value at a global scale.