Organizational Environmental Culture, Environmental Sustainability and Performance: The Mediating Role of Green HRM and Green Innovation

Abstract

This study investigated Environmental Sustainability (ES) and Environmental Performance (EP) through the direct and indirect use of Organizational Environmental Culture (OEC). This study focused on top managers, namely, the CEOs and directors of SMEs, along with their middle managers. In this study, the researchers employed green HRM and Green Innovation (GI) as mediators. We applied a quantitative approach that utilized cross-sectional data collected from Saudi Arabian Small and Medium-sized Enterprises (SMEs). We used a survey questionnaire with a convenience sampling technique and succeeded in obtaining replies from 236 respondents. By using the Structural Equation Model (SEM), this study’s findings demonstrate that OEC has a positive and significant effect on green HRM and GI. This study’s findings support the development of policies that promote ES and EP through green environmental practices. Further, green HRM and GI are significant predictors of ES and EP. This study’s findings also show that green HRM and GI have a mediating effect in developing the associations between OEC and ES and EP. Ultimately, this study’s findings make a significant contribution to the depth of the empirical evidence about SMEs in the context of Saudi Arabia.

Relationship Between Green Innovation and Sustainability and Moderating Role of Foreigners: Evidence from Saudi Listed Companies

“…My findings corroborate with those found by Sobaih et al ( 2022 ) in Saudi context by using a green innovation and CSR as mediating variables to prove the effect of sustainability on corporate performance. The same affirmation on SMEs companies in Saudi Arabia is argued by Al Doghan et al ( 2022 ).…”

Fostering environmental preservation: exploring the synergy of green human resource management and corporate environmental ethics

“…After validation of the measurement model, we conducted the "Variance Inflation Factor (VIF)" test on all variables making up the interaction conditions to mitigate the multicollinearity risk (Aiken et al, 1991), where all indicators are acceptable because they have values below 5 (Hair et al, 2018).…”

Green HRM and hospitality industry: challenges and barriers in adopting environmentally friendly practices

“…Past studies have proven that GHRM has a favorable outcome on organizational performance (Obeidat et al , 2020), economic performance (Yong et al , 2022), enabling of green culture (Muisyo et al , 2022), EP (Obeidat et al , 2020; Yusoff et al , 2020) and social performance (Zaid et al , 2018). It was also found that GHRM is important in green OC and environmental sustainability due to its prominent role in reducing the adverse effects of energy consumption and hazardous emissions (Doghan et al , 2022). The growing literature on GHRM focused on quantifying the impacts of GHRM practices (green job analysis and description, green recruitment, green training, green performance management and green compensation) on various outcomes over the last decade.…”