Cultivating Green Human Resource Management (GHRM) to Small and Medium-Sized Enterprises (SMEs) for Green Performance
DOI:
https://doi.org/10.38035/gijtm.v1i2.47Keywords:
GHRM, SMEs, Green Performance, Human Resource ManagementAbstract
At the present time in Indonesia, businesses that fall into the category of "small" or "medium" might employ a sizable workforce. It is necessary to establish policies and strategies to overcome the obstacles to entry into export markets, such as local regulations and a lack of knowledge about the varying demands of export markets, even if many different types of SME products have the potential to become high-quality exports. Therefore, in order to address this problem, this article presents a literature analysis on Green Human Resource Management (GHRM) for SMEs to improve their green performance. This paper presents a comprehensive assessment as a model for professional development in light of the constraints of the existing HR development procedures in Indonesian MSMEs. This article draws the conclusion that GHRM has an opportunity to encourage green performance in Indonesian SMEs in accordance with the national business objectives of decision makers after analyzing the current practice of GHRM development in Indonesia MSMEs with national and international practices reported in the published literature. Given HRM's potential as a model for effective and sustained HRM professional development, especially in the context of SMEs in Indonesia, due to its empowering qualities in terms of both its content and its structure.
References
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Alraja, M. N., Imran, R., Khashab, B. M., & Shah, M. (2022). Technological Innovation, Sustainable Green Practices and SMEs Sustainable Performance in Times of Crisis (COVID-19 pandemic). Information Systems Frontiers, 24(4), 1081–1105. https://doi.org/10.1007/s10796-022-10250-z
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Awan, F. H., Dunnan, L., Jamil, K., & Gul, R. F. (2023). Stimulating environmental performance via green human resource management, green transformational leadership, and green innovation: a mediation-moderation model. Environmental Science and Pollution Research, 30(2), 2958–2976. https://doi.org/10.1007/s11356-022-22424-y
Awwad Al-Shammari, A. S., Alshammrei, S., Nawaz, N., & Tayyab, M. (2022). Green Human Resource Management and Sustainable Performance With the Mediating Role of Green Innovation: A Perspective of New Technological Era. Frontiers in Environmental Science, 10(June), 1–12. https://doi.org/10.3389/fenvs.2022.901235
Belhadi, A., Touriki, F. E., & El Fezazi, S. (2018). Benefits of adopting lean production on green performance of SMEs: a case study. Production Planning and Control, 29(11), 873–894. https://doi.org/10.1080/09537287.2018.1490971
Boakye, D. J., TIngbani, I., Ahinful, G., Damoah, I., & Tauringana, V. (2020). Sustainable environmental practices and financial performance: Evidence from listed small and medium-sized enterprise in the United Kingdom. Business Strategy and the Environment, 29(6), 2583–2602. https://doi.org/10.1002/bse.2522
Bu, X., & , Wilson V.T. Dang 2, Jianming Wang 3, and Q. L. 1. (2020). Environmental Orientation Green Supply Chain Management and Firm Performance Empirical Evidence from Chinese Small and Medium-Sized Enterprises.
Chien, F., Ngo, Q. T., Hsu, C. C., Chau, K. Y., & Iram, R. (2021). Assessing the mechanism of barriers towards green finance and public spending in small and medium enterprises from developed countries. Environmental Science and Pollution Research, 28(43), 60495–60510. https://doi.org/10.1007/s11356-021-14907-1
Dai, X., Siddik, A. B., & Tian, H. (2022). Corporate Social Responsibility, Green Finance and Environmental Performance: Does Green Innovation Matter? Sustainability (Switzerland), 14(20), 1–17. https://doi.org/10.3390/su142013607
Dey, P. K., Petridis, N. E., Petridis, K., Malesios, C., Nixon, J. D., & Ghosh, S. K. (2018). Environmental management and corporate social responsibility practices of small and medium-sized enterprises. Journal of Cleaner Production, 195, 687–702. https://doi.org/10.1016/j.jclepro.2018.05.201
Farzana, K. (2020). Green HRM?: Sustainable Practices to Promote Employment. 22(9), 1–6. https://doi.org/10.9790/487X-2209010106
Hamdani, N. A., Herlianti, A. O., & Solihat, A. (2019). Innovative green technology for SMEs. Journal of Physics: Conference Series, 1402(3). https://doi.org/10.1088/1742- 6596/1402/3/033074
Hanaysha, J. R., Al-Shaikh, M. E., Joghee, S., & Alzoubi, H. M. (2022). Impact of Innovation Capabilities on Business Sustainability in Small and Medium Enterprises. FIIB Business Review, 11(1), 67–78. https://doi.org/10.1177/23197145211042232
Higgs, C. J., & Hill, T. (2019). The role that small and medium-sized enterprises play in sustainable development and the green economy in the waste sector, South Africa. Business Strategy and Development, 2(1), 25–31. https://doi.org/10.1002/bsd2.39
Huo, X., Azhar, A., Rehman, N., & Majeed, N. (2022). The Role of Green Human Resource Management Practices in Driving Green Performance in the Context of Manufacturing SMEs. Sustainability (Switzerland), 14(24). https://doi.org/10.3390/su142416776
Iqbal, S., Akhtar, S., Anwar, F., Javed, A., & Sohu, J. M. (2021). Linking green innovation performance and green innovative human resource practices in SMEs?; a moderation and mediation analysis using. Current Psychology, 0123456789. https://doi.org/10.1007/s12144-021-02403-1
Jermsittiparsert, K., Siriattakul, P., & Wattanapongphasuk, S. (2021). Determining the Environmental Performance of Indonesian SMEs influence by Green Supply Chain Practices with Moderating Role of Green HR Practices. November, 20–21.
Khan, A. J., Ul Hameed, W., Iqbal, J., Shah, A. A., Tariq, M. A. U. R., & Bashir, F. (2022). Green HRM and employee efficiency: The mediating role of employee motivation in emerging small businesses. Frontiers in Environmental Science, 10(November), 1–10. https://doi.org/10.3389/fenvs.2022.1044629
Khan, A., Li, C., Shahzad, M., & Sampene, A. K. (2023). Green effectual orientations to shape environmental performance through green innovation and environmental management initiatives under the influence of CSR commitment. Environmental Science and Pollution Research, 30(1), 2205–2217. https://doi.org/10.1007/s11356-022-22263-x
Malik Mustafa, A. A. (2021). Comparative Analysis of Green Ict Practices Among Palestinian and Malaysian in Sme Food Enterprises During Covid-19 Pandemic. PalArch’s Journal of Archaeology of Egypt / Egyptology, 18(4), 254–264. https://archives.palarch.nl/index.php/jae/article/view/5692
Molina-azorin, J. F., Maria, D. L., Jos, J., Pereira-moliner, J., & Pertusa-ortega, E. M. (2021). administrative sciences Environmental Management , Human Resource Management and Green Human Resource Management?: A Literature Review.
Muangmee, C., Dacko-Pikiewicz, Z., Meekaewkunchorn, N., Kassakorn, N., & Khalid, B. (2021). Green entrepreneurial orientation and green innovation in small and medium- sized enterprises (Smes). Social Sciences, 10(4). https://doi.org/10.3390/socsci10040136
Mulyana, M., Nurhayati, T., & Nurkholis, L. (2022). Cultural and System Relational Capabilities on Business Performance: Role of Value Co-Creation Activities. Journal of Asia-Pacific Business, 23(1), 5–23. https://doi.org/10.1080/10599231.2022.2025642
Obeidat, S. M., Al, A. A., & Said, B. (2020). Leveraging “ Green ” Human Resource Practices to Enable Environmental and Organizational Performance?: Evidence from the Qatari Oil and Gas Industry. Journal of Business Ethics, 164(2), 371–388. https://doi.org/10.1007/s10551-018-4075-z
Padilla-Lozano, C. P., & Collazzo, P. (2022). Corporate social responsibility, green innovation and competitiveness – causality in manufacturing. Competitiveness Review, 32(7), 21–39. https://doi.org/10.1108/CR-12-2020-0160
Raharjo, K. (2019). The role of green management in creating sustainability performance on the small and medium enterprises. Management of Environmental Quality: An International Journal, 30(3), 557–577. https://doi.org/10.1108/MEQ-03-2018-0053
Ramos-gonzález, M. M., & Sastre-castillo, M. Á. (2022). Effects of socially responsible human resource management ( SR-HRM ) on innovation and reputation in entrepreneurial SMEs. 1205–1233.
Rodrigues, M., & Franco, M. (2023). Green Innovation in Small and Medium-Sized Enterprises (SMEs): A Qualitative Approach. Sustainability (Switzerland), 15(5), 1–12. https://doi.org/10.3390/su15054510
Saeed, B. Bin, Tahir, M., & Afridi, M. A. (2019). Promoting employee ’ s proenvironmental behavior through green human resource management practices. March 2018, 424–438. https://doi.org/10.1002/csr.1694
Sarfraz, M., Qun, W., Abdullah, M. I., & Alvi, A. T. (2018). Employees ’ Perception of Corporate Social Responsibility Impact on Employee Outcomes?: Mediating Role of Organizational Justice for Small and Medium Enterprises ( SMEs ). https://doi.org/10.3390/su10072429
Sawe, F. B., Kumar, A., Garza-Reyes, J. A., & Agrawal, R. (2021). Assessing people-driven factors for circular economy practices in small and medium-sized enterprise supply chains: Business strategies and environmental perspectives. Business Strategy and the Environment, 30(7), 2951–2965. https://doi.org/10.1002/bse.2781
Singh, S. K., Giudice, M. Del, Chierici, R., & Graziano, D. (2020). Green innovation and environmental performance: The role of green transformational leadership and green human resource management. Technological Forecasting and Social Change, 150 (October 2019), 119762. https://doi.org/10.1016/j.techfore.2019.119762
Singh, S. K., Giudice, M. Del, Jabbour, C. J. C., Latan, H., & Sohal, A. S. (2021).
Stakeholder pressure, green innovation, and performance in small and medium-sized enterprises: The role of green dynamic capabilities. Business Strategy and The Environment, 31(1), 500–514. https://doi.org/10.1002/bse.2906
Subramanian, N., & Suresh, M. (2022). The contribution of organizational learning and green human resource management practices to the circular economy?: a relational analysis – evidence from manufacturing SMEs ( part II ). 29(5), 443–462. https://doi.org/10.1108/TLO-06-2022-0068
Sugandini, D., Muafi, M., Susilowati, C., Siswanti, Y., & Syafri, W. (2020). Green supply chain management and green marketing strategy on green purchase intention: SMEs cases. Journal of Industrial Engineering and Management, 13(1), 79–92. https://doi.org/10.3926/jiem.2795
Susanto, A., & Meiryani, M. (2019). Antecedents of environmental management accounting and environmental performance: Evidence from Indonesian small and medium enterprises. International Journal of Energy Economics and Policy, 9(6), 401–407. https://doi.org/10.32479/ijeep.8366
Tang, G., Chen, Y., Jiang, Y., & Jia, J. (2017). Green human resource management practices?: scale development and validity. 555. https://doi.org/10.1111/1744- 7941.12147
Tevapitak, K., & (Bert) Helmsing, A. H. J. (2019). The interaction between local governments and stakeholders in environmental management: The case of water pollution by SMEs in Thailand. Journal of Environmental Management, 247(November 2018), 840–848. https://doi.org/10.1016/j.jenvman.2019.06.097
Ullah, H., Wang, Z., Mohsin, M., Jiang, W., & Abbas, H. (2022). Multidimensional perspective of green financial innovation between green intellectual capital on sustainable business: the case of Pakistan. Environmental Science and Pollution Research, 29(4), 5552–5568. https://doi.org/10.1007/s11356-021-15919-7
Wang, C. H., & Juo, W. J. (2021). An environmental policy of green intellectual capital: Green innovation strategy for performance sustainability. Business Strategy and the Environment, 30(7), 3241–3254. https://doi.org/10.1002/bse.2800
Zhu, Q., Zou, F., & Zhang, P. (2019). The role of innovation for performance improvement through corporate social responsibility practices among small and medium-sized suppliers in China. Corporate Social Responsibility and Environmental Management, 26(2), 341–350. https://doi.org/10.1002/csr.1686
Ali, A., Ahmad, B., & Kazmi, S. (2021). The effect of green human resource management on environmental performance?: The mediating role of employee eco-friendly behavior. 11, 1725–1736. https://doi.org/10.5267/j.msl.2021.2.010
Aljuboori, Z. M., Singh, H., Haddad, H., Al-Ramahi, N. M., & Ali, M. A. (2022). Intellectual Capital and Firm Performance Correlation: The Mediation Role of Innovation Capability in Malaysian Manufacturing SMEs Perspective. Sustainability (Switzerland), 14(1). https://doi.org/10.3390/su14010154
Alraja, M. N., Imran, R., Khashab, B. M., & Shah, M. (2022). Technological Innovation, Sustainable Green Practices and SMEs Sustainable Performance in Times of Crisis (COVID-19 pandemic). Information Systems Frontiers, 24(4), 1081–1105. https://doi.org/10.1007/s10796-022-10250-z
Amjad, F., Abbas, W., Zia-ur-rehman, M., Baig, S. A., Hashim, M., & Zia-ur-rehman, M. (2021). Effect of green human resource management practices on organizational sustainability?: the mediating role of environmental and employee performance. 28191– 28206.
Armstrong, M. (2010). Armstrong’s Essential Human Resource Management Practice; A guide to people Management. In Human Resource Development Review (Vol. 5, Issue 1). Kogan Page Limited. http://journals.sagepub.com/doi/10.1177/1534484305284318
Awan, F. H., Dunnan, L., Jamil, K., & Gul, R. F. (2023). Stimulating environmental performance via green human resource management, green transformational leadership, and green innovation: a mediation-moderation model. Environmental Science and Pollution Research, 30(2), 2958–2976. https://doi.org/10.1007/s11356-022-22424-y
Awwad Al-Shammari, A. S., Alshammrei, S., Nawaz, N., & Tayyab, M. (2022). Green Human Resource Management and Sustainable Performance With the Mediating Role of Green Innovation: A Perspective of New Technological Era. Frontiers in Environmental Science, 10(June), 1–12. https://doi.org/10.3389/fenvs.2022.901235
Belhadi, A., Touriki, F. E., & El Fezazi, S. (2018). Benefits of adopting lean production on green performance of SMEs: a case study. Production Planning and Control, 29(11), 873–894. https://doi.org/10.1080/09537287.2018.1490971
Boakye, D. J., TIngbani, I., Ahinful, G., Damoah, I., & Tauringana, V. (2020). Sustainable environmental practices and financial performance: Evidence from listed small and medium-sized enterprise in the United Kingdom. Business Strategy and the Environment, 29(6), 2583–2602. https://doi.org/10.1002/bse.2522
Bu, X., & , Wilson V.T. Dang 2, Jianming Wang 3, and Q. L. 1. (2020). Environmental Orientation Green Supply Chain Management and Firm Performance Empirical Evidence from Chinese Small and Medium-Sized Enterprises.
Chien, F., Ngo, Q. T., Hsu, C. C., Chau, K. Y., & Iram, R. (2021). Assessing the mechanism of barriers towards green finance and public spending in small and medium enterprises from developed countries. Environmental Science and Pollution Research, 28(43), 60495–60510. https://doi.org/10.1007/s11356-021-14907-1
Dai, X., Siddik, A. B., & Tian, H. (2022). Corporate Social Responsibility, Green Finance and Environmental Performance: Does Green Innovation Matter? Sustainability (Switzerland), 14(20), 1–17. https://doi.org/10.3390/su142013607
Dey, P. K., Petridis, N. E., Petridis, K., Malesios, C., Nixon, J. D., & Ghosh, S. K. (2018). Environmental management and corporate social responsibility practices of small and medium-sized enterprises. Journal of Cleaner Production, 195, 687–702. https://doi.org/10.1016/j.jclepro.2018.05.201
Farzana, K. (2020). Green HRM?: Sustainable Practices to Promote Employment. 22(9), 1–6. https://doi.org/10.9790/487X-2209010106
Hamdani, N. A., Herlianti, A. O., & Solihat, A. (2019). Innovative green technology for SMEs. Journal of Physics: Conference Series, 1402(3). https://doi.org/10.1088/1742- 6596/1402/3/033074
Hanaysha, J. R., Al-Shaikh, M. E., Joghee, S., & Alzoubi, H. M. (2022). Impact of Innovation Capabilities on Business Sustainability in Small and Medium Enterprises. FIIB Business Review, 11(1), 67–78. https://doi.org/10.1177/23197145211042232
Higgs, C. J., & Hill, T. (2019). The role that small and medium-sized enterprises play in sustainable development and the green economy in the waste sector, South Africa. Business Strategy and Development, 2(1), 25–31. https://doi.org/10.1002/bsd2.39
Huo, X., Azhar, A., Rehman, N., & Majeed, N. (2022). The Role of Green Human Resource Management Practices in Driving Green Performance in the Context of Manufacturing SMEs. Sustainability (Switzerland), 14(24). https://doi.org/10.3390/su142416776
Iqbal, S., Akhtar, S., Anwar, F., Javed, A., & Sohu, J. M. (2021). Linking green innovation performance and green innovative human resource practices in SMEs?; a moderation and mediation analysis using. Current Psychology, 0123456789. https://doi.org/10.1007/s12144-021-02403-1
Jermsittiparsert, K., Siriattakul, P., & Wattanapongphasuk, S. (2021). Determining the Environmental Performance of Indonesian SMEs influence by Green Supply Chain Practices with Moderating Role of Green HR Practices. November, 20–21.
Khan, A. J., Ul Hameed, W., Iqbal, J., Shah, A. A., Tariq, M. A. U. R., & Bashir, F. (2022). Green HRM and employee efficiency: The mediating role of employee motivation in emerging small businesses. Frontiers in Environmental Science, 10(November), 1–10. https://doi.org/10.3389/fenvs.2022.1044629
Khan, A., Li, C., Shahzad, M., & Sampene, A. K. (2023). Green effectual orientations to shape environmental performance through green innovation and environmental management initiatives under the influence of CSR commitment. Environmental Science and Pollution Research, 30(1), 2205–2217. https://doi.org/10.1007/s11356-022-22263-x
Malik Mustafa, A. A. (2021). Comparative Analysis of Green Ict Practices Among Palestinian and Malaysian in Sme Food Enterprises During Covid-19 Pandemic. PalArch’s Journal of Archaeology of Egypt / Egyptology, 18(4), 254–264. https://archives.palarch.nl/index.php/jae/article/view/5692
Molina-azorin, J. F., Maria, D. L., Jos, J., Pereira-moliner, J., & Pertusa-ortega, E. M. (2021). administrative sciences Environmental Management , Human Resource Management and Green Human Resource Management?: A Literature Review.
Muangmee, C., Dacko-Pikiewicz, Z., Meekaewkunchorn, N., Kassakorn, N., & Khalid, B. (2021). Green entrepreneurial orientation and green innovation in small and medium- sized enterprises (Smes). Social Sciences, 10(4). https://doi.org/10.3390/socsci10040136
Mulyana, M., Nurhayati, T., & Nurkholis, L. (2022). Cultural and System Relational Capabilities on Business Performance: Role of Value Co-Creation Activities. Journal of Asia-Pacific Business, 23(1), 5–23. https://doi.org/10.1080/10599231.2022.2025642
Obeidat, S. M., Al, A. A., & Said, B. (2020). Leveraging “ Green ” Human Resource Practices to Enable Environmental and Organizational Performance?: Evidence from the Qatari Oil and Gas Industry. Journal of Business Ethics, 164(2), 371–388. https://doi.org/10.1007/s10551-018-4075-z
Padilla-Lozano, C. P., & Collazzo, P. (2022). Corporate social responsibility, green innovation and competitiveness – causality in manufacturing. Competitiveness Review, 32(7), 21–39. https://doi.org/10.1108/CR-12-2020-0160
Raharjo, K. (2019). The role of green management in creating sustainability performance on the small and medium enterprises. Management of Environmental Quality: An International Journal, 30(3), 557–577. https://doi.org/10.1108/MEQ-03-2018-0053
Ramos-gonzález, M. M., & Sastre-castillo, M. Á. (2022). Effects of socially responsible human resource management ( SR-HRM ) on innovation and reputation in entrepreneurial SMEs. 1205–1233.
Rodrigues, M., & Franco, M. (2023). Green Innovation in Small and Medium-Sized Enterprises (SMEs): A Qualitative Approach. Sustainability (Switzerland), 15(5), 1–12. https://doi.org/10.3390/su15054510
Saeed, B. Bin, Tahir, M., & Afridi, M. A. (2019). Promoting employee ’ s proenvironmental behavior through green human resource management practices. March 2018, 424–438. https://doi.org/10.1002/csr.1694
Sarfraz, M., Qun, W., Abdullah, M. I., & Alvi, A. T. (2018). Employees ’ Perception of Corporate Social Responsibility Impact on Employee Outcomes?: Mediating Role of Organizational Justice for Small and Medium Enterprises ( SMEs ). https://doi.org/10.3390/su10072429
Sawe, F. B., Kumar, A., Garza-Reyes, J. A., & Agrawal, R. (2021). Assessing people-driven factors for circular economy practices in small and medium-sized enterprise supply chains: Business strategies and environmental perspectives. Business Strategy and the Environment, 30(7), 2951–2965. https://doi.org/10.1002/bse.2781
Singh, S. K., Giudice, M. Del, Chierici, R., & Graziano, D. (2020). Green innovation and environmental performance: The role of green transformational leadership and green human resource management. Technological Forecasting and Social Change, 150 (October 2019), 119762. https://doi.org/10.1016/j.techfore.2019.119762
Singh, S. K., Giudice, M. Del, Jabbour, C. J. C., Latan, H., & Sohal, A. S. (2021).
Stakeholder pressure, green innovation, and performance in small and medium-sized enterprises: The role of green dynamic capabilities. Business Strategy and The Environment, 31(1), 500–514. https://doi.org/10.1002/bse.2906
Subramanian, N., & Suresh, M. (2022). The contribution of organizational learning and green human resource management practices to the circular economy?: a relational analysis – evidence from manufacturing SMEs ( part II ). 29(5), 443–462. https://doi.org/10.1108/TLO-06-2022-0068
Sugandini, D., Muafi, M., Susilowati, C., Siswanti, Y., & Syafri, W. (2020). Green supply chain management and green marketing strategy on green purchase intention: SMEs cases. Journal of Industrial Engineering and Management, 13(1), 79–92. https://doi.org/10.3926/jiem.2795
Susanto, A., & Meiryani, M. (2019). Antecedents of environmental management accounting and environmental performance: Evidence from Indonesian small and medium enterprises. International Journal of Energy Economics and Policy, 9(6), 401–407. https://doi.org/10.32479/ijeep.8366
Tang, G., Chen, Y., Jiang, Y., & Jia, J. (2017). Green human resource management practices?: scale development and validity. 555. https://doi.org/10.1111/1744- 7941.12147
Tevapitak, K., & (Bert) Helmsing, A. H. J. (2019). The interaction between local governments and stakeholders in environmental management: The case of water pollution by SMEs in Thailand. Journal of Environmental Management, 247(November 2018), 840–848. https://doi.org/10.1016/j.jenvman.2019.06.097
Ullah, H., Wang, Z., Mohsin, M., Jiang, W., & Abbas, H. (2022). Multidimensional perspective of green financial innovation between green intellectual capital on sustainable business: the case of Pakistan. Environmental Science and Pollution Research, 29(4), 5552–5568. https://doi.org/10.1007/s11356-021-15919-7
Wang, C. H., & Juo, W. J. (2021). An environmental policy of green intellectual capital: Green innovation strategy for performance sustainability. Business Strategy and the Environment, 30(7), 3241–3254. https://doi.org/10.1002/bse.2800
Zhu, Q., Zou, F., & Zhang, P. (2019). The role of innovation for performance improvement through corporate social responsibility practices among small and medium-sized suppliers in China. Corporate Social Responsibility and Environmental Management, 26(2), 341–350. https://doi.org/10.1002/csr.1686
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2023-07-29
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Marditama, T. ., & Yusoff Yusliza, M. . (2023). Cultivating Green Human Resource Management (GHRM) to Small and Medium-Sized Enterprises (SMEs) for Green Performance. Greenation International Journal of Tourism and Management, 1(2), 184–195. https://doi.org/10.38035/gijtm.v1i2.47
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