Contextual factors influencing the implementation of sustainable supply chain practices

An empirical study on product manufacturing companies in the BENELUX region

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Abstract

With the rising global pollution and rising concern over sustainable operations, manufacturing companies are under tremendous pressure from its stakeholders to adopt Sustainable Supply Chain Management (SSCM). However, companies in addressing SSCM, largely focus on the economic aspects neglecting the other two crucial pillars of sustainability. To tackle this issue and further promote the TBL approach in SCM, this study empirically analyzes the factors influencing the successful implementation of environmental and social sustainability practices in manufacturing SCM. This study takes into account 8 different sustainability practices corresponding to environmental and social pillars and set of 10 contextual factors that are suggested to influence the successful implementation of sustainability practices in the existing literature.
The data collected from 112 product manufacturing companies and logistic regression analysis reveal that 9 out of 10 factors significantly influence the implementation of at least one of the sustainability practices. Sustainability Policies and Objectives (SPO) being the major contributor shows significant influence towards 4 of the practices and relatively low significant influence on 3 other practices. However, Downstream Supply Chain Factor (DSCF) do not significantly influence the implementation of any of the practices.
Based on data analysis results, a detailed discussion is conducted and answer to the main research question is provided. Next, the limitations of the research study, recommendations for future studies are provided. Finally, a personal reflection and managerial implications are provided.