IMPLEMENTATION OF GREEN HUMAN RESOURCE MANAGEMENT IN SMES: CHALLENGES AND OPPORTUNITIES TO ENHANCE BUSINESS SUSTAINABILITY
Keywords:
Green Human Resource Management (GHRM), Small and Medium Enterprises (SMEs), Business Sustainability, Operational Efficiency, Challenges and OpportunitiesAbstract
This research examines the implementation of Green Human Resource Management (GHRM) in the context of Small and Medium Enterprises (SMEs), focusing on the challenges and opportunities faced in improving business sustainability.GHRM, which includes HR policies and practices that support environmental sustainability goals, has great potential to improve the operational efficiency and competitiveness of SMEs.However, many SMEs face barriers such as limited resources, lack of understanding of sustainability, and resistance to change. This study employs a qualitative approach, utilizing case studies of SMEs that have adopted or are planning to implement GHRM.The findings indicate that, despite persistent challenges, significant opportunities exist for enhancing business sustainability, efficiency, and corporate image through GHRM implementation. GHRM practices are anticipated to contribute to cost reduction, talent attraction, and adherence to increasingly stringent environmental regulations.This research offers recommendations for SMEs to integrate sustainability policies into HR management, thereby fortifying long-term sustainability.
References
Aboramadan, M. and Karatepe, O. (2021). Green human resource management, perceived green organizational support and their effects on hotel employees’ behavioral outcomes. International Journal of Contemporary Hospitality Management, 33(10), 3199-3222. https://doi.org/10.1108/ijchm-12-2020-1440
Al-shammari, A., 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. https://doi.org/10.3389/fenvs.2022.901235
Aldoghan, M., Abdelwahed, N., Soomro, B., & Alayis, M. (2022). Organizational environmental culture, environmental sustainability and performance: the mediating role of green hrm and green innovation. Sustainability, 14(12), 7510. https://doi.org/10.3390/su14127510
Arsawan, I. (2024). Enhancing the circular economy business model towards sustainable business performance: moderating the role of environmental dynamism. Journal of Infrastructure Policy and Development, 8(5), 3321. https://doi.org/10.24294/jipd.v8i5.3321
Astuti, M. and Wahyuni, H. (2018). Green human resource management implication on increasing productivity of small and medium enterprises. Iptek Journal of Proceedings Series, 0(3), 170. https://doi.org/10.12962/j23546026.y2018i3.3724
Baeshen, Y., Soomro, Y., & Bhutto, M. (2021). Determinants of green innovation to achieve sustainable business performance: evidence from smes. Frontiers in Psychology, 12. https://doi.org/10.3389/fpsyg.2021.767968
Cahyadi, A., Natalisa, D., Poór, J., Perizade, B., & Szabó, K. (2022). Predicting the relationship between green transformational leadership, green human resource management practices, and employees’ green behavior. Administrative Sciences, 13(1), 5. https://doi.org/10.3390/admsci13010005
Chaudhary, R. (2019). Green human resource management and employee green behavior: an empirical analysis. Corporate Social Responsibility and Environmental Management, 27(2), 630-641. https://doi.org/10.1002/csr.1827
Creswell, J. W. (2021). Research design: Qualitative, quantitative, and mixed methods approaches (Fifth Edit). Sage Publications, Inc.
Ercantan, O. and Eyupoglu, Ş. (2022). How do green human resource management practices encourage employees to engage in green behavior? perceptions of university students as prospective employees. Sustainability, 14(3), 1718. https://doi.org/10.3390/su14031718
Faisal, S. and Naushad, M. (2020). An overview of green hrm practices among smes in saudi arabia. Journal of Entrepreneurship and Sustainability Issues, 8(2), 1228-1244. https://doi.org/10.9770/jesi.2020.8.2(73)
Faizan, S. (2023). Green human resource management practices: driving sustainable innovation and performance in manufacturing smes., 2(4), 329-339. https://doi.org/10.61503/cissmp.v2i4.106
Gyensare, M. (2023). Green hrm practices, employee well‐being, and sustainable work behavior: examining the moderating role of resource commitment. Business Strategy and the Environment, 33(4), 3129-3141. https://doi.org/10.1002/bse.3642
Hendarjanti, H. (2022). Building sustainability business industry palm oil 4.0 through a green human resources management, green innovation and approach green commitment. Business and Entrepreneurial Review (Ber), 22(1), 19-34. https://doi.org/10.25105/ber.v22i1.13187
Jabbour, C. J. C., & De Sousa Jabbour, A. B. L. (2016). Green Human Resource Management and Green Supply Chain Management: Linking two emerging agendas. Journal of Cleaner Production, 112, 1824–1833. https://doi.org/10.1016/j.jclepro.2015.01.052
Malik, S., Cao, Y., Mughal, Y., Kundi, G., Mughal, M., & Ramayah, T. (2020). Pathways towards sustainability in organizations: empirical evidence on the role of green human resource management practices and green intellectual capital. Sustainability, 12(8), 3228. https://doi.org/10.3390/su12083228
Miah, M., Szabó-Szentgróti, G., & Walter, V. (2024). A systematic literature review on green human resource management (GHRM): an organizational sustainability perspective. Cogent Business and Management, 11(1). https://doi.org/10.1080/23311975.2024.2371983
Moursellas, A., De, D., Wurzer, T., Skouloudis, A., Reiner, G., Chaudhuri, A., Manousidis, T., Malesios, C., Evangelinos, K., & Dey, P. K. (2023). Sustainability Practices and Performance in European Small-and-Medium Enterprises: Insights from Multiple Case Studies. Circular Economy and Sustainability, 3(2), 835–860. https://doi.org/10.1007/s43615-022-00224-3
Nawangsari, L. and Sutawidjaya, A. (2021). How can msmes achieve sustainability business?. Business and Entrepreneurial Review (Ber), 21(1), 153-170. https://doi.org/10.25105/ber.v21i1.9271
Nulkar, G. (2019). Environmental Sustainability Practices for SMEs. Green Business, August, 989–1008. https://doi.org/10.4018/978-1-5225-7915-1.ch048
Panjan, W., Chuacharoen, O., Ruangvanit, P., Arjareewattana, W., Pradittharom, A., & Chunhasriwong, K. (2021). Development of strategic human source management model for small and medium enterprises in thailand’s new normal life. E3s Web of Conferences, 284, 07031. https://doi.org/10.1051/e3sconf/202128407031
Renwick, D. W. S., Redman, T., & Maguire, S. (2013). Green Human Resource Management: A Review and Research Agenda. International Journal of Management Reviews, 15(1), 1–14. https://doi.org/https://doi.org/10.1111/j.1468-2370.2011.00328.x
Sahu, S., and Satpathy, B. (2024). A bibliometric and meta analysis on green human resource management for sustainable practices. https://doi.org/10.52783/eel.v14i1.1013
Subramanian, N. and 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). The Learning Organization, 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 management and green marketing strategy on green purchase intention: smes cases. Journal of Industrial Engineering and Management, 13(1), 79. https://doi.org/10.3926/jiem.2795
Ullah, S., Mehmood, T., & Ahmad, T. (2022). Green intellectual capital and green hrm enabling organizations go green: mediating role of green innovation. International Journal of Innovation Science, 15(2), 245-259. https://doi.org/10.1108/ijis-12-2021-0222
Vochin, O., Sârbu, A., Pamfilie, R., & Sârbu, R. (2023). The role of human resources function in promoting sustainability on oil & gas industry., 176-182. https://doi.org/10.24818/basiq/2023/09/069
Wen, J., Hussain, H., Waheed, J., Ali, W., & Jamil, I. (2021). Pathway toward environmental sustainability: mediating role of corporate social responsibility in green human resource management practices in small and medium enterprises. International Journal of Manpower, 43(3), 701-718. https://doi.org/10.1108/ijm-01-2020-0013
Wulandari, E. and Nawangsari, L. (2021). The effect of green human resources management on sustainability business companies (case study on employee claim department pt. prudential life assurance). European Journal of Business Management and Research, 6(1), 238-242. https://doi.org/10.24018/ejbmr.2021.6.1.745
Yudawisastra, H., Anwar, M., Nidar, S., & Azis, Y. (2023). The emergence of green management and sustainability performance for sustainable business at small medium enterprises (smes) in the culinary sector in indonesia. International Journal of Sustainable Development and Planning, 18(5), 1489-1497. https://doi.org/10.18280/ijsdp.180519
Yusliza, M., Norazmi, N., Jabbour, C., Fernando, Y., Fawehinmi, O., & Seles, B. (2019). Top management commitment, corporate social responsibility and green human resource management. Benchmarking an International Journal, 26(6), 2051-2078. https://doi.org/10.1108/bij-09-2018-0283
Zahrani, A. (2022). Team creativity and green human resource management practices’ mediating roles in organizational sustainability. Sustainability, 14(19), 12827. https://doi.org/10.3390/su141912827
Zhang, Y., Luo, Y., Zhang, X., & Zhao, J. (2019). How green human resource management can promote green employee behavior in china: a technology acceptance model perspective. Sustainability, 11(19), 5408. https://doi.org/10.3390/su11195408
Yadav, N., Gupta, K., Rani, L., & Rawat, D. (2018). Drivers of Sustainability Practices and SMEs: A Systematic Literature Review. European Journal of Sustainable Development, 7(4), 531–544. https://doi.org/10.14207/ejsd.2018.v7n4p531
