BỘ GIÁO DỤC VÀ ĐÀO TẠOĐẠI HỌC KINH TÉ THÀNH PHÓ HÒ CHÍ MINH BÁO CÁO TỐNG KÉT ĐÈ TÀI NGHIÊN cứu KHOA HỌC THAM GIA XÉT GIẢI THƯỞNG ‘’ NHÀ NGHIÊN CỨU TRẺ UEH” NÀM 2024 HARMONY IN PRACT
INTRODUCTION
Introduction
Historically, businesses prioritized economic activities for success and shareholder benefits (Kumar & Gupta, 2018) However, contemporary organizations are increasingly pressured to address sustainability issues, ensuring their operations do not harm the environment or society (Yusliza et al., 2017) As a result, companies are now integrating social responsibility into their business strategies to foster sustainable outcomes (Fiandrino et al., 2019) This shift towards sustainability enables businesses to balance economic, environmental, and social objectives effectively (Maletic et al., 2016).
Effective environmental management is crucial for human well-being, economic growth, and sustainability (Kahle & Gurel-Atay, 2013) Human resources are essential for organizational change and development, making them a vital component that organizations cannot overlook (Noe et al., 2006) Since the 18th-century revolution, organizations have increasingly recognized the importance of investing in human resources, leading to enhanced specialization as a key element of their strategic approach (Noe et al., 2006).
This study aims to explore the relationship between Green Human Resource Management (GHRM) and the sustainable performance of enterprises GHRM integrates traditional human resource management with environmental management, focusing on optimizing HR practices while committing to environmental protection and enhancing organizational performance (Jabbour, 2015) It encourages environmentally responsible behavior among employees, fosters positive workplace interactions, and inspires innovative environmental ideas to boost business performance (Neo et al., 2006) Furthermore, GHRM encompasses a broader perspective on the social and economic well-being of both the organization and its employees (Ahmad, 2015), utilizing internal and external connections to promote sustainability and reinforce commitment to sustainable practices (Kumar & Gupta, 2018).
The social responsibility of an organization extends beyond charitable activities to include environmental protection, the promotion of social values, and the maintenance of a sustainable working environment This commitment is evident in the organization's green human resource management policies and long-term vision for a sustainable future Both social responsibility and organizational commitment play crucial roles in the effective development and implementation of green human resource management Social responsibility influences organizational decisions and encourages active contributions to the community and environment, while organizational commitment fosters alignment between green practices and sustainability goals Research has explored the impact of corporate social responsibility on organizational commitment, as well as the relationship between green human resource management practices and organizational sustainability performance, highlighting the mediating effects of these factors in promoting sustainable outcomes.
Research objectives
Investigate the impact of the relationship between green human resource management and sustainable performance in a group of small and medium production enterprises in Vietnam.
Bring a new perspective to the relationship between green human resource management and sustainable performance, especially regarding the role of social responsibility and organizational commitment.
This study explores the influence of two intermediate variables on the relationship dynamics within organizations, specifically focusing on their impact on the environmental context By examining these variables, the research aims to provide practical insights that can contribute to the growth and development of manufacturing enterprises in Vietnam.
Research struture
The research study is structured into five key sections: the introduction, which outlines the research objectives and scope; an exploration of existing theories related to Green Human Resource Management (GHRM), Corporate Social Responsibility (CSR), Organizational Commitment (ORC), and Corporate Social Performance (CSP); a detailed description of the research design; an analysis of regression results highlighting their significance; and a conclusion that summarizes findings and provides recommendations for addressing identified challenges.
LITERATURE REVIEW
Review of related study
The study of Sabokro Ct al., (2021)
This research investigates the influence of green human resource management (GHRM) on employees' environmentally friendly behaviors, focusing on the mediating roles of corporate social responsibility (CSR) and a green psychological climate Utilizing Partial Least Square Structural Equation Modeling, the study sampled 384 human resource managers and employees from various industrial companies in Iran Findings indicate that GHRM practices directly affect CSR, the green psychological climate, and consequently, employees' green behaviors Additionally, both CSR and a green psychological climate are crucial in promoting these environmentally conscious actions The study highlights the significance of incorporating sustainability into human resource management, emphasizing its vital role in advancing environmental sustainability within industrial development The implications extend globally, encouraging industrial companies to adopt sustainable practices and reduce resource consumption for more environmentally responsible operations.
Fig 1 The structural model for green human resources management.
Figure 2.1 Resaech model 1 The study of Khan et al., (2020)
The study reveals a strong positive correlation between green human resource practices and sustainable performance in Malaysian manufacturing firms Utilizing a quantitative research design, the research employed survey primary data and structural equation modeling (SEM) techniques for analysis The findings highlight the beneficial impact of green HR practices on sustainability, making this information particularly valuable for ISO-14001 certified companies in Malaysia and beyond.
Figure 2.2 Research model 2 The study of Brammer et al., (2007)
This study explores how employee perceptions of corporate social responsibility (CSR) influence organizational commitment, revealing that favorable views of CSR correlate with higher levels of affective commitment Utilizing data from an employee attitude survey conducted among 4,712 staff members at a major retail banking firm in the UK, the analysis indicates that the correlation coefficients among the independent variables are typically low, with variance inflation factors remaining below four.
The article examines the impact of corporate social responsibility (CSR) on organizational commitment, revealing that CSR initiatives directed towards social and non-social stakeholders, including employees and customers, significantly enhance organizational commitment Conversely, the study found no correlation between CSR efforts aimed at government entities and employee commitment Overall, CSR engagement with social and non-social stakeholders is a crucial predictor of organizational commitment.
Figure 1 The structural model of the study.
Literature Review and hypothesis development
2.2.1 Green human resources management and Corporate sustainable performance (GHRM and CSP)
Green Human Resource Management (GHRM) involves engaging employees with organizational values and goals, along with implementing training to enhance their knowledge and environmental awareness (Cheema et al., 2020; Zhu et al., 2021) The integration of green practices in human resource management is crucial, as it not only supports environmental management systems but also boosts the sustainability performance of enterprises (Jabbour & Santos, 2008b) Research suggests that the effectiveness of GHRM practices improves when applied concurrently (Renwick et al., 2013) The success of companies increasingly relies on the efficiency and sustainability of their human resources (Binci et al., 2019), highlighting the need to consider the environmental impact of HR processes This approach aids in maintaining an environmental management system and achieving superior environmental performance (Yong & Mohd-Yusoff, 2016) Furthermore, fostering environmental interest among employees enhances their skills and motivation, leading to improved performance and overall efficiency (ECP) As organizations adopt greener practices, they cultivate a sustainable corporate culture that enhances performance, reduces costs, and boosts employee satisfaction (Shah, 2017) Ultimately, a greener cultural environment can result in increased sales and lower operational costs (Longoni et al.).
Investing in corporate social responsibility (CSR) offers businesses numerous advantages, such as enhanced customer satisfaction, improved employee recruitment, and increased innovation, all of which contribute positively to their social performance (Awan et al., 2021a) To optimize corporate social performance (CSP), organizations must engage in social initiatives that benefit both their internal community—employees—and their external stakeholders, including suppliers and customers (Samad et al., 2021) Thus, the hypothesis is established based on these insights.
Hypothese 1: GHRM positively impacts CSP
2.2.2 The mediating roles of CSR and ORC in the relationship between GHRM and CSP
This study highlights the importance of examining the relationship between Green Human Resource Management (GHRM) and Corporate Social Responsibility (CSR) to enhance sustainable performance Human resources are crucial for achieving sustainability and financial success, with environmental initiatives being integral to broader CSR programs (Ahmad, 2015) Key HR activities, including recruitment, training, performance management, and talent retention, support the development of effective CSR initiatives, fostering synergy between HRM and CSR (Jamali et al., 2015) Additionally, strategic HRM can gain significant advantages from CSR efforts (Voegtlin and Greenwood, 2016) Employees' perceptions of CSR greatly impact organizational commitment, corporate development, and overall performance improvement (Brammer et al., 2007; Kucharska).
Corporate Social Responsibility (CSR) plays a crucial role in shaping organizational structure and enhancing Corporate Social Performance (CSP) (Kowalczyk, 2019; Shahzad et al., 2019) According to Dai et al (2022), CSR significantly contributes to achieving CSP in manufacturing organizations, as highlighted by Font and Lynes (2018), due to the favorable support these companies receive in a global context This positive impact stems from effective planning, evaluation, and implementation of strategic initiatives Based on these insights, a hypothesis can be formulated.
Hypothese 2a: GHRM has a positive relationship with CSR
Hypothese 2b: CSR has a positive relationship with CSP
Hypothese 2: CSR mediates the relationship between GHRM and CSP
Employee engagement is fundamentally a connection to the organization, and fostering this engagement requires organizations to implement incentive and creative strategies that boost motivation Green human resource management practices can significantly enhance organizational commitment by aligning employees with environmental sustainability goals When employees recognize the value of their organization’s commitment to environmental initiatives, they are more likely to strengthen their allegiance to it This commitment, in turn, is crucial for linking Green Human Resource Management to sustainable corporate performance A high level of employee commitment positively influences organizational performance, as it encourages sustainable operations and services Thus, the relationship between green practices and employee commitment is essential for promoting overall organizational effectiveness.
Hypothesc 3a: GHRM has a positive relationship with ORC
Hypothese 3b: ORC has a positive relationship with CSP
Hypothese 3: ORC mediates the relationship between GHRM and CSP
2.2.3 Corporate social responsibility and Organizational commitment (CSR and
Corporate social responsibility (CSR) plays a crucial role in enhancing both organizational and employee commitment by fostering a strong alignment between the two When employees recognize the value of CSR in their organization's identity, it leads to a deeper connection and commitment Engaging in corporate social activities helps employees appreciate the positive impact of CSR, reinforcing their loyalty Furthermore, the association with organizations that embody a positive spirit significantly contributes to this commitment, highlighting the importance of CSR in cultivating a dedicated workforce.
Organizational commitment, particularly employees' self-awareness of their desire to engage with the organization, plays a crucial role in reducing absenteeism, driving revenue growth, and enhancing overall performance Positive perceptions of Corporate Social Responsibility (CSR) are closely linked to employee engagement, influenced by both external CSR initiatives aimed at stakeholders and internal CSR practices regarding employee treatment Enhancing organizational commitment can be achieved by recruiting individuals who share the company's values and vision for social and environmental goals Additionally, training programs that promote learning, skill development, and knowledge transfer further strengthen this commitment Stakeholder assessments of CSR significantly impact CSR performance, underscoring the importance of CSR awareness in fostering organizational commitment through both internal and external activities.
Hypothesc 4: CSR positively impacts ORC
2.2.4 Components of Corporate sustainable performance (CSP)
The Triple Bottom Line (TBL) concept, introduced by John Elkington in 1994, encompasses three essential dimensions: social, environmental, and economic Organizations increasingly adopt the TBL framework to assess their sustainable performance effectively.
A standard definition of sustainability is “development that meets current needs without compromising the ability of future generations to meet them” (Higgins & Coffey, 2016)
In addition, the Corporate Sustainability Performance (CSP) principle that Elkington
In 1994, it was proposed that Sustainable Corporate Performance (CSP) encompasses three critical dimensions: economic, social, and environmental performance This approach emphasizes the importance of managing financial sustainability, addressing environmental challenges, and prioritizing stakeholder interests to enhance social efficiency (Yusliza et al., 2020) CSP aims to align the interests of both society's stakeholders and shareholders (Henriques & Richardson, 2013; Gross, 2015), necessitating a comprehensive assessment of all three aspects (Furnish et al., 2013; Hubbard, 2009) To achieve effective CSP, organizations must strike a balance and foster synergy among economic, social, and environmental factors (Rasi et al., 2014) This study seeks to validate the significance of CSPs in relation to various influencing factors, thereby providing robust evidence for the concept.
CSP associated with (H5a) CSP_ENP, (H5b) CSP_ECP, (H5c) CSP_SOP
From the above proposed arguments and hypotheses, we propose a proposed research model for this study:
Figure 2.4 Research model of* the study
This study employs a quantitative methodology to gather primary data from middle and senior managers in Vietnam's manufacturing sector, specifically targeting SMEs in fields such as food, beverages, plastics, and fabricated metals A structured questionnaire was initially developed in English and then translated into Vietnamese to ensure comprehension among respondents Data collection was conducted through an online questionnaire via Google Forms, utilizing non-probability convenient sampling techniques, which are effective for gathering information from the target demographic The study reached out to enterprises through email and in-house surveys, resulting in 506 distributed surveys and 432 responses, with 410 qualifying for analysis after screening to maintain research quality Established scales were utilized, including the GHRM scale adapted from Dumont et al (2017), the CSR scale derived from Turker (2009), the ORC scale modified from Mowday et al (1982) and Huselid and Day (1991), and the CSP scale based on Zhu et al (2013) and Zhu et al (2008).
(2005) and Green and Inman (2005); SCP inherited from De Giovanni (2012) and Abdullah et al (2015).
After valid collection and sampling, the information on sample description characteristics is presented in Table 4.1
Years of working at the current position 154 37.6
Table 4.1 Description of collected samples
The initial step involves evaluating the reliability and validity of the measurements, with results indicating that all structural indicators meet the required confidence levels and thresholds (Haire et al., 2010) Subsequently, the differences among the indicators are examined using the Fornell and Larcker criteria (1981), as illustrated in Table 4.3.
Larcker’s criteria have been met, indicating that the differentiation between measurements is clearly established Consequently, the discriminant value of these measurements has been evaluated, affirming that this distinction is meaningful within the context of the study.
Green human resources GHRM1 0.830 management (GHRM)
Table 4 2 Cronbach’s alpha, factor loading, composite reliability, AVE
ECP ORC ENP GHRM SOP CSR
Table 4.3 The Fornell-Larckcr criterion
The benchmark values presented in Figure 4.1 demonstrate a strong model fit, with RMSEA at 0.041, PCLOSE at 0.998, CFI at 0.959, TLI at 0.955, GFI at 0.902, and CMIN/DF at 1.693 These metrics meet or exceed the recommended criteria for an excellent model fit, as outlined by Hu & Bentler (1999) and Hair et al (2010) This robust fit enhances the reliability and validity of the model, instilling confidence in its capacity to accurately represent the underlying relationships in the study.
959 cfi 902 gfi 886 agfi 041 rmsea 998 pclose 955 tli KL^i'SlEEilESB
Source(s): Developed by the authors using AMOS software
Figure 4.1 Results of confirmatory factor analysis (CFA) 4.4 Structural model assessment
Table 4.4 presents the results of the proposed hypothetical relationships, showcasing path coefficients and p-values derived from a bootstrapping method with 5,000 subsamples The study confirms a positive relationship between GHRM and CSP, leading to the acceptance of hypothesis H1 Furthermore, CSP is positively associated with CSP ENP, CSP ECP, and CSP SCP, validating hypotheses H5a, H5b, and H5c Notably, ENP and ECP significantly enhance the effectiveness of CSP with contributions of +0.702 and +0.899, respectively (p