Published Online:September 2024
Product Name:The IUP Journal of Supply Chain Management
Product Type:Article
Product Code:
Author Name:Shruti Vadukiya and Sheetal Mundra
Availability:YES
Subject/Domain:Strategic
Download Format:PDF
Pages:21
The implementation of green supply chain practices is a crucial part of most manufacturing industries in developed and developing countries, many of which are yet to adopt the concept to fulfill supplier demand and market trends. This paper aims to identify the drivers behind the adoption of green practices by medium-scale manufacturing companies in the FMCG sector of Rajasthan. Data were collected from 323 respondents and analyzed using SPSS software. Confirmatory factor analysis and exploratory analysis were carried out to identify the drivers, which are: green demand, financial performance, green operational practices, environmental performance, and reverse logistics. This study found that the identified factors play a vital role in the adoption of green supply chain practices by medium-scale manufacturing companies in FMCG sector.
A supply chain can be simply defined as a network of organizations involved in the various stages of producing and delivering goods and services, encompassing both upstream and downstream activities (La Londe and Masters, 1994). In contemporary business, supply chain management (SCM) serves as a vital tool for organizations to enhance their efficiency. The term “supply chain management” was first introduced by Oliver and Webber in the mid-1980s. Traditionally, this concept has been perceived as a process that transforms raw materials into finished products for distribution to end consumers. However, beyond the tangible flow of products, some researchers have highlighted the intangible value of information flow within the supply chain. This includes a focus on market demand exchange, trust-building, product innovation, supplier base reduction, strategic positioning, and operational efficiency improvements (Berry et al., 1994; and Bowersox et al., 2010), leading to a more intricate supply chain framework. Furthermore, the significance of supply chain relationships has become increasingly critical in today’s globalized environment, driven by a growing emphasis on environmental responsibility worldwide (Welford, 2010). We are entering an era where sustainability and green practices are essential components of business operations. In the face of intensifying global competition, organizations, particularly multinational corporations, are continually seeking ways to enhance their supply chain systems to reduce costs, improve quality and efficiency, and achieve long-term sustainability. Given that most organizations are part of at least one supply chain (Samaranayake, 2005), competition is increasingly framed as ‘supply chain versus supply chain,’ prompting companies to refine their SCM practices to address supply uncertainties and demand variability.