The Relationship between Green Supply Chain Management and Profitability

Allam, Dina; Elseify, Elsayed; Youssef, Amr; Khourshed, Nevien

doi:10.4236/oalib.1105892

Cited by 7 publications

(15 citation statements)

References 14 publications

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“…Conversely, ineffective adoption of SEMPs leads to financial and operational distress due to increased fines and penalties. Studies by Allam et al (2021) and Abdallah and Al-ghwayeen (2020) revealed a significant increase in sales revenue, market share and profitability for businesses that effectively adopt SEMPs. Implementing SEMPs, such as proper waste management, the use of recycling materials and environmentally friendly raw materials, help firms minimize negative environmental impacts.…”

Section: Studies Conducted Bymentioning

confidence: 99%

The influence of sustainable supply chain management practices on financial sustainability of food processing SMEs

Mwenda

Israel

Mahuwi

2023

LBSJMR

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PurposeThe importance of sustainable supply chain management practices (SSCMPs) in the financial performance of firms is increasing significantly. However, the influence of SSCMPs on financial performance can vary across sectors and contexts. This research aims to provide a comprehensive understanding of the influence of SSCMPs on the financial sustainability of small and medium-sized enterprises (SMEs) in the food processing industry. For this, the influence of sustainable environment practices, customer and supplier relationships, social SCMPs and lean supply chain on the financial sustainability of food processing SMEs is studied.Design/methodology/approachA questionnaire survey was conducted to collect data from 56 food processing SMEs in Mbeya, Tanzania. The study employed a cross-sectional research design and a census approach to capture data from all eligible SMEs in the target population. Exploratory factor analysis (EFA) and multiple linear regression (MLR) were utilized as the primary data analysis techniques.FindingsThe findings of the study revealed a positive and significant influence of various SSCMPs on the financial sustainability of food processing SMEs. Specifically, sustainable environment management practices (β = 0.147, p = 0.000), supplier relationship management (SRM) (β = 0.715, p = 0.001), customer relationship management (CRM) (β = 0.894, p = 0.016), social SCMP (β = 0.901, p = 0.005) and lean supply chain practices (β = 0.675, p = 0.003) were all found to have a significant effect on the financial sustainability of the surveyed food processing SMEs.Practical implicationsThe study recommends the need to plan and integrate SSCMPs in firms’ operation processes, promote collaboration and networking and offer capacity-building initiatives that equip food processing SMEs with the necessary skills and knowledge to implement SSCMPs effectively. These will nurture effective adoption of SSCMP, leading to improved operations, environmental performance, financial sustainability and long-term viability of the sector.Originality/valueWhile SSCMPs have gained attention in the literature, the specific focus on its impact on financial sustainability in the context of food processing SMEs adds originality to this research. Industry stakeholders and policymakers can utilize the findings of this study to develop supportive policies and programs that promote sustainable supply chain practices and enhance financial sustainability in the food processing sector.

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Section: Studies Conducted Bymentioning

confidence: 99%

The influence of sustainable supply chain management practices on financial sustainability of food processing SMEs

Mwenda

Israel

Mahuwi

2023

LBSJMR

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“…Another relevant finding about supply chain management came from the research of Allam et al (2021); the results of their study showed that waste had a significant negative impact on the profitability measured by return on equity which implied that companies should strive to reduce their waste to be able to increase their profitability.…”

Section: Literature Reviewmentioning

confidence: 99%

The Supply Chain of Vegetable Production in the Philippines: The Case of Nueva Ecija Farmers

Fronda¹

2022

JSS

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This descriptive study looked at the supply chain of vegetable production in Nueva Ecija, Philippines. The researcher collected data from farmers using a validated survey questionnaire and discovered that inputs in vegetable production are determined by the crop's cultural requirements, with pre-harvest labor costs and other inputs accounting for most inputs. After harvesting, respondents claimed that a large quantity of vegetables means a higher profit for farmers, and eggplant could provide a reasonable cost of return. Almost all respondents do not have a place to store their produce. In practice, they deliver the vegetables directly to the market and, occasionally, to the middlemen. Farmers primarily use Kolong-Kolong to transport their vegetable products to market, which can be purchased per kilo or per bundle, with payment made in cash upon delivery. Regarding demand-supply, the availability of produce-vegetables was determined by the farmers' adherence to the vegetable calendar.

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“…, 2021; Abdallah and Al-Ghwayeen, 2020; Chang et al. , 2020); and profitability (Allam et al. , 2021); and financial-environmental performance (Hashmi and Akram, 2021); and firm competitiveness and performance (Jamaludin, 2021).…”

Section: Introductionmentioning

confidence: 99%

“…Research by Singh et al (2019) reviews and discusses frameworks of performance measures for SC resilience to disruptions from different sectors (food, production in general, transports, marine, electronics and textile) in regions of the world such as the USA, Germany, France, UK, Portugal, Ireland, Australia, the Netherlands, UAE, India, China, Singapore and Hong Kong. Other researches are mainly on the link between SC management and firm performance (Maaz and Ahmad, 2022;Lee et al, 2022;Fu et al, 2022;Raza et al, 2021;Abdallah and Al-Ghwayeen, 2020;Chang et al, 2020); and profitability (Allam et al, 2021); and financial-environmental performance (Hashmi and Akram, 2021); and firm competitiveness and performance (Jamaludin, 2021). However, drawing upon literature review, research on the degree to which SC management performance can promote FSCS leading to sustainable performance in COVID-19 disruption is scarce, presenting a critical knowledge gap that needs to be bridged.…”

Section: Introductionmentioning

confidence: 99%

How do food supply chain performance measures contribute to sustainable corporate performance during disruptions from the COVID-19 pandemic emergency?

2023

IJQRM

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PurposeThis study aims to the development of the scale of supply chain performance measures (SCPMs), food supply chain resilience (FSCS) and sustainable corporate performance (SCP) in small- and medium-sized enterprises (SMEs) in an emerging market. Based on this purpose, the study examines the relationships between SCPMs and SCP by exploring the mediating role of FSCS in emerging markets.Design/methodology/approachBased on a comprehensive literature review on the SCPMs, FSCS and SCP, the author evaluates the nexus of these constructs on disruptions during the COVID-19 pandemic emergency in an emerging market. The article follows a quantitative approach. A total of 567 valid responses from managers at senior and middle levels were received and used for data analysis. The Smart PLS version 3.3.2 was employed to analyse Structural Equation Modelling (SEM) to investigate the relationships between constructs and latent variables.FindingsThis study provides some theoretical contributions to expand the extant literature on the domain of SCPMs. First, the findings determine that multidimensional measures of flexibility, diversity, agility, inventory efficiency, redundancy and robustness are appropriate for measuring food SC performance in disruptions during the COVID-19 emergency. Besides, this study enriches the existing literature on SC disruption by providing extensive empirical evidence on SCPMs in disruptions during the COVID-19 emergency. Finally, this research provides an integrated empirical model that explores the link between the identified food SCPMs to FSCS and SCP.Originality/valueThe contributions may be of interest to business practitioners, business leaders and academics. In addition, this study provides empirical evidence to demonstrate that food SC performance, as measured by these measures, is strongly related to the firm's food supply chain resilience. This is the novel contribution of this study to the current literature on food SC management. Furthermore, this study provides further empirical evidence demonstrating the partial mediating role of the firm's food supply chain resilience in the nexus between food SC performance and SCP. The unique contribution of this study is an extension of the body of knowledge of SC management literature from a comprehensive approach by providing a proven set of performance measures of SC management to which it can drive SC resilience and SCP for food manufacturing SMEs in an emerging economy that hardly found in the current literature.

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The Relationship between Green Supply Chain Management and Profitability

Cited by 7 publications

References 14 publications

The influence of sustainable supply chain management practices on financial sustainability of food processing SMEs

The influence of sustainable supply chain management practices on financial sustainability of food processing SMEs

The Supply Chain of Vegetable Production in the Philippines: The Case of Nueva Ecija Farmers

How do food supply chain performance measures contribute to sustainable corporate performance during disruptions from the COVID-19 pandemic emergency?

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