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Supply chain environmental investments in dynamic industries: Comparing investment and performance differences with static industries

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  • Wiengarten, Frank
  • Pagell, Mark
  • Fynes, Brian

Abstract

Research linking investments in environmental practices to firm performance has matured over the past years. However, empirical research is still ambiguous on how and whether investments in environmental practices improve a plant's performance. We believe that contingency factors, especially the industry in which plants act has a significant role in the success of environmental investments. Using empirical data collected across a wide range of industries our results indicate that plants competing in dynamic industries such as apparel do on average invest less in supply chain environmental practices compared to plants in static industries. In addition, these environmental investments do not significantly improve operational performance in dynamic industries in terms of cost, quality, delivery and flexibility. However, in static industries environmental investments do significantly improve a plant's operational performance in terms of cost, quality and flexibility.

Suggested Citation

  • Wiengarten, Frank & Pagell, Mark & Fynes, Brian, 2012. "Supply chain environmental investments in dynamic industries: Comparing investment and performance differences with static industries," International Journal of Production Economics, Elsevier, vol. 135(2), pages 541-551.
  • Handle: RePEc:eee:proeco:v:135:y:2012:i:2:p:541-551
    DOI: 10.1016/j.ijpe.2011.03.011
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    References listed on IDEAS

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    Citations

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    Cited by:

    1. Biao Li & Kekun Wu, 2017. "Environmental Management System Adoption and the Operational Performance of Firm in the Textile and Apparel Industry of China," Sustainability, MDPI, Open Access Journal, vol. 9(6), pages 1-11, June.
    2. Ji, Guojun & Gunasekaran, Angappa & Yang, Guangyong, 2014. "Constructing sustainable supply chain under double environmental medium regulations," International Journal of Production Economics, Elsevier, vol. 147(PB), pages 211-219.
    3. Wiengarten, Frank & Pagell, Mark, 2012. "The importance of quality management for the success of environmental management initiatives," International Journal of Production Economics, Elsevier, vol. 140(1), pages 407-415.
    4. Gligor, David & Gligor, Nichole & Maloni, Michael, 2019. "The impact of the supplier's market orientation on the customer market orientation-performance relationship," International Journal of Production Economics, Elsevier, vol. 216(C), pages 81-93.
    5. Guo Li & Ming K. Lim & Zhaohua Wang, 2020. "Stakeholders, green manufacturing, and practice performance: empirical evidence from Chinese fashion businesses," Annals of Operations Research, Springer, vol. 290(1), pages 961-982, July.
    6. Donna Marshall & Lucy McCarthy & Marius Claudy & Paul McGrath, 2019. "Piggy in the Middle: How Direct Customer Power Affects First-Tier Suppliers’ Adoption of Socially Responsible Procurement Practices and Performance," Journal of Business Ethics, Springer, vol. 154(4), pages 1081-1102, February.
    7. Lii, Peirchyi & Kuo, Fang-I, 2016. "Innovation-oriented supply chain integration for combined competitiveness and firm performance," International Journal of Production Economics, Elsevier, vol. 174(C), pages 142-155.
    8. Christian WankmĂĽller & Gerald Reiner, 2020. "Coordination, cooperation and collaboration in relief supply chain management," Journal of Business Economics, Springer, vol. 90(2), pages 239-276, March.
    9. Bustinza, Oscar F. & Lafuente, Esteban & Rabetino, Rodrigo & Vaillant, Yancy & Vendrell-Herrero, Ferran, 2019. "Make-or-buy configurational approaches in product-service ecosystems and performance," Journal of Business Research, Elsevier, vol. 104(C), pages 393-401.

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