STRATEGIC PRIORITIZATION OF GREEN SUPPLY CHAIN MANAGEMENT PRACTICES FOR SUSTAINABLE BUSINESS SUCCESS: EVIDENCE FROM PAKISTAN'S TEXTILE INDUSTRY

Abstract

Green Supply Chain Management (GSCM) has received much attention as a way to improve the sustainability of the organisation and firm's performance. However, most of the previous studies have focused on the direct effects of GSCM practices on organizational performance and have limited recommendations for the strategic importance of GSCM practices. To address this gap the present study tries to understand the relative contribution of GSCM practices and proposes a model for strategic prioritization for the success of sustainable business in textile industry in Pakistan. In this research, the method used is quantitative research with the number of respondents 150 people consisting of managers in textile manufacturing companies and analyzed using the method of Structural Equation Modeling (SEM). The results show that all four GSCM practices have a positive impact on the firm's performance, but in varying degrees. The most influential practices were eco-design (β = 0.410), green procurement (β = 0.194), green manufacturing (β = 0.191), green distribution (β = 0.165). Given the above, a Strategic Prioritization Framework is created to recommend a sequential implementation process for companies to prioritise their investments in sustainability according to the potential impacts on their organisations. From the relationship testing perspective to the perspective of strategic decision making; from the resource constrained manufacturing environment to the perspective of managers; The study is a contribution to the literature in the field of GSCM because it aims to analyze from the former perspective to the latter one and provide practical advice for the managers working in the concerned environment in the manufacturing industry. The findings are particularly important for policy makers and textile companies interested in increasing the sustainability and competitiveness of the industry in the long-term.