How Corporate Social Responsibility Affects Organizational Sustainable Performance: The Mediation Role of Green Innovation and Green Human Resource Management

Muliati Usman; Hamdi Harmen

doi:10.31436/ijema.v33i1.1261

Authors

Muliati Usman Syiah Kuala University, Indonesia
Hamdi Harmen Syiah Kuala University, Indonesia

DOI:

https://doi.org/10.31436/ijema.v33i1.1261

Keywords:

Corporate Social Responsibility, Green Human Resource Management, Green Inovation, Sustainability Organizational Performance

Abstract

A company or business organization can achieve sustainable performance only when it is able to carry out organizational processes, functions, or operations so that the business or organization's activities do not damage environmental quality. Therefore, business or organizational transactions must be carried out with the aim of producing better social interactions with stakeholders such as suppliers, consumers, the general public, and the authorities. This research aims at exploring the direct relationship between Corporate Social Responsibility (CSR) and Organizational Sustainable Performance by involving the role of Green Human Resource Management (GHRM) and Green Innovation (GI) as mediating variables. Further, this study was conducted by using a literature review as a methodology in order to address the gap on these issues. The result of this study views an organization as a collection of human, physical, and organizational resources. These resources are valuable and incomparable for the green practice. Thus, they are a major source of sustained competitive advantage and sustainable performance. While for sustainable, three important ideas can be applied, i.e., considering the needs of future generations, institution matters, and new ways of thinking and perceiving. Finally, this study is expected to become a foundation for promoting sustainable performance of organizations that helps organizations to achieve competitive advantage by cultivating environmental awareness as part of their organizational strategy, which is also known as green management. Furthermore, this study provides new insights or knowledge for further research by developing a novel research model as a basis for further empirical research.

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