The Effect of Green Human Capital, Green Structural Capital and Green Relation Capital on Company Sustainability by Mediating Green Environment Management

Abstract

This study will dissect the influence of green human resources and capital on corporate stewardship by managing green environmental administration. The participants in this study were workers at PERTAMINA’s Rewul, Fuel Terminal, with a complete sample of 125 representatives. The data testing strategy uses the Structural Equation Model Partial Least Square. The results of this study found that green human resources and green social capital significantly affect the carrying capacity of the company, eirectly by intervening in the administration of the green environment; besides that, green environmental governance also has a significant impact on the sustainability of the company. On the other hand, green structural capital does not directly affect company sustainability but becomes a substantial effect by mediating green environmental management. In order to maintain sustainability, continuous improvement projects are carried out to support green innovation in implementing green technology in resource utilization and preserving the environment while still involving external parties. The company is committed to implementing the highest occupational health and safety standards, respecting and affecting the surrounding community to promote sustainable social and economic development.
 
 Received: 31 January 2022 / Accepted: 20 August 2022 / Published: 2 September 2022

Green Entrepreneurship Motivation Model

“…The trainings are expected to present competitive advantage for SMEs that can yield long-term profit. This finding is corroborated by the fact that organizational management is influenced by the aspects of green human resources and green natural administration as well as the involvement of external parties to keep supporting the utilization of natural resources and environmental sustainability within the business (Syahidun & Nawangsari, 2022). Knowledge transfer and external role integration can improve the correlation between green entrepreneurship orientation and environmental and financial performance (Jiang et al, 2018).…”

The Influence of Green Intellectual Capital on Sustainable SMEs

“…From the three elements of green intellectual capital, empirical test results show that green human capital, green structural capital, and green relational capital have a significant positive effect on sustainable SME performance (Inayat et al, 2022;Rahayu et al, 2023;Yusliza et al, 2020). However, many previous studies also state that not all elements of green intellectual capital have an effect on sustainable SMEs (Josephine et al, 2020;Syahidun & Nawangsari, 2022a). The first element of green intellectual capital is green human capital, which is employee effort, creativity, attitudes, experience, and competence towards environmental sustainability or green innovation .…”

“…The third element of green intellectual capital is green relational capital, which is a company's interactive relationships with customers, suppliers, network members, and partners regarding corporate environmental management and green innovation, which enables wealth creation and gaining competitive advantage (Chen, 2008). Green relational capital has a significant effect on sustainable SMEs (Fitri et al, 2022;Jermsittiparsert, 2021;Nawangsari et al, 2022;Omar et al, 2019;Syahidun & Nawangsari, 2022a;Yusoff et al, 2019). Green relational capital predicts environmentally friendly performance (Al Issa et al, 2023).…”