Enhancing the strategic alignment between environmental drivers of sustainability and the performance management system in Italian manufacturing firms

Purpose - The purpose of this paper is to provide managers with suitable strategic KPIs in decision-making processes, which aim to integrate the environmental dimension of sustainability at a business level in manufacturing organisations. Design/methodology/approach - In view of the research proposal addressed, semi-structured interviews were conducted, based on theoretical milestones of the performance management system (PMS), with 48 managers that work in Italian manufacturing firms and specialise in green practices. Findings - The authors developed a novel environmentally performed framework to adequately integrate environmental value drivers at a strategic level. Practical implications - The resulting issues addressed in this paper, and their integration in the business strategy for managing environmental complexity, allows contributing, firstly, to the existing literature by suggesting the relevant key value drivers that need to be mostly studied from an accounting point of view. In addition, from these results, though their experience managers will have up-to-date key measures that could, in the future, help the integration process between the environmental aspect of the sustainability dimension and the PMS. Originality/value - The results generate a robust roadmap for future analysis in this research field. Accordingly, the paper engenders a strategic alignment in the green transition process, providing scholars and practitioners with a clear view of the key sustainable drivers, metrics and potential solutions that have not been addressed to date.