EXAMINING THE EFFECTS OF GREEN SUPPLY CHAIN AND ORGANIZATIONAL PERFORMANCE METRICS ON BUSINESS SUCCESS

Abstract

Green Supply Chain Management (GSCM), an environmentally conscious approach to traditional supply chain management (SCM), is gaining increasing attention in developing countries. This growth is driven by its recognized benefits for both the environment and the economy, alongside heightened awareness of environmental sustainability. Organizations are increasingly striving to demonstrate their commitment to sustainable practices. This study investigates the impact of implementing GSCM on environmental performance (EP), operational performance (OP), market performance (MP), and overall business performance in the context of a developing country, specifically Pakistan. Data were collected via a structured questionnaire administered to 101 supply chain professionals working in manufacturing companies. The conceptual framework was developed based on a review of existing literature, and Partial Least Squares-Structural Equation Modeling (PLS-SEM) was employed to test the hypotheses. Findings indicate that while GSCM positively influences overall business performance, this effect was not statistically significant. However, significant positive impacts were observed on market performance, environmental performance, and operational performance. These results suggest that improvements in MP, EP, and OP through GSCM practices present opportunities to enhance overall business performance. In the context of a developing country like Pakistan, this research contributes to the literature by exploring how GSCM affects key performance dimensions and overall business outcomes. The findings offer valuable insights for supply chain professionals aiming to implement sustainable practices and provide policy recommendations for organizations seeking to advance their GSCM initiatives.