Green HRM practices and corporate sustainability performance

Abstract

Purpose

The existing literature indicates that the ultimate purpose of green human resource management (GHRM) practices is to enhance sustainable corporate performance by shaping employees’ green behaviors. In this vein, we argue that green organizational culture and employee existing pro-environmental behaviors are the important factors or channels through which GHRM practices shape green employee behaviors for sustainable corporate performance. Consequently, we draw on the ability, motivation, and opportunity (AMO) framework to examine how firms’ GHRM practices indirectly shape employee green behavior for sustainable corporate performance by cultivating and reinforcing green organizational culture under the boundary condition of high employee pro-environmental behavior.

Design/methodology/approach

This study uses multi-source, dyadic, and time-lagged data collected from green HR managers and employees in 242 ISO-14001-certified green firms in the Kingdom of Saudi Arabia. The study applies structural equation modeling through LISREL 12 software for testing of hypotheses.

Findings

The findings support the postulation that GHRM practices, directly and indirectly, shape employee green behaviors for sustainable performance. GHRM practices indirectly enhance employee green behaviors for sustainable performance by cultivating and fostering the green organizational culture in the presence of high pro-environmental behavior.

Practical implications

This study outlines theoretical and practical implications on how HRM managers require an established green organizational culture and employee pro-environmental behaviors to effectively direct GHRM for enhanced sustainable corporate performance. HRM managers should make use of appropriate interventions, including but not limited to GHRM practices, to foster a green organizational culture and employee pro-environmental behaviors.

Originality/value

This is an original study that outlines the importance of alignment between Green HRM practices and employee pro-environmental behaviors towards shaping green organizational culture and employee behaviors for corporate sustainability. The study demonstrates how GHRM practices enhance sustainable corporate performance through sequential mediations of green organizational culture and employee green behaviors, and under the boundary condition of pro-environmental behavior.

Citation

Ali, M., Shujahat, M., Fatima, N., Lopes de Sousa Jabbour, A.B., Vo-Thanh, T., Salam, M.A. and Latan, H. (2024), "Green HRM practices and corporate sustainability performance", Management Decision, Vol. ahead-of-print No. ahead-of-print. https://doi.org/10.1108/MD-05-2023-0787