IDEAS home Printed from https://ideas.repec.org/a/gam/jsusta/v17y2025i13p5716-d1684214.html
   My bibliography  Save this article

Achieving Supply Chain Sustainability Through Green Innovation: A Dynamic Capabilities-Based Approach in the Logistics Sector

Author

Listed:
  • Ahmad Ali Atieh

    (Faculty of Business, Middle East University, Amman 11831, Jordan)

  • Mastoor M. Abushaega

    (Department of Industrial Engineering, College of Engineering and Computer Science, Jazan University, Jazan 45142, Saudi Arabia)

Abstract

This study examines the effect of internal dynamic capabilities i.e., digital leadership, environmental awareness, and organizational learning, on sustainable supply chain performance as studied in the logistics sector. It builds on the Dynamic Capabilities Theory by combining notions of green innovation and sustainability and fills the growing gap in the existing literature. Despite the fact that these domains have been extensively studied independently, there has been limited research examining how internal capabilities contribute to green supply chain innovation (GSCI) that in turn results in sustainability outcomes, especially in the case of emerging markets. Seven hypotheses were tested using Partial Least Squares Structural Equation Modeling (PLS-SEM) analysis of data collected from 312 logistics and supply chain professionals in Jordan. This study shows that each of the three capabilities has a major effect on GSCI and therefore sustainable performance. Linking the most influential predictor of sustainability outcome to sustainable supply chain performance, as indicated by the strongest effect (β = 0.825, p < 0.001) between GSCI and sustainable supply chain performance, and followed by significant coefficients between the sustainable information processing (β = 0.261, p < 0.01), and information capabilities (β = 0.297, p < 0.001), indicates that the theory is more suited to GSCI. In particular, digital leadership had the largest impact on the green innovation (β = 0.481, p < 0.001), indicating that the role of digitally driven leadership is to facilitate eco-innovation. In addition, this intermediate factor, GSCI, serves as a variable that mediates relationships between the capabilities and the sustainability outcomes. As the results here suggest, leveraging internal capabilities is a very tangible channel for green innovation that has important ramifications for practitioners and policymakers facing resource constraints.

Suggested Citation

  • Ahmad Ali Atieh & Mastoor M. Abushaega, 2025. "Achieving Supply Chain Sustainability Through Green Innovation: A Dynamic Capabilities-Based Approach in the Logistics Sector," Sustainability, MDPI, vol. 17(13), pages 1-20, June.
    • Handle: RePEc:gam:jsusta:v:17:y:2025:i:13:p:5716-:d:1684214
    as

    Download full text from publisher

    File URL: https://www.mdpi.com/2071-1050/17/13/5716/pdf
    Download Restriction: no
    File URL: https://www.mdpi.com/2071-1050/17/13/5716/
    Download Restriction: no
    ---><---

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:gam:jsusta:v:17:y:2025:i:13:p:5716-:d:1684214. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: MDPI Indexing Manager (email available below). General contact details of provider: https://www.mdpi.com .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.