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The Role of Green Intellectual Capital and Organizational Reputation in Influencing Environmental Performance

Author

Listed:
  • Winwin Yadiati

    (Faculty of Economic and Business, Padjadjaran University, Bandung, Indonesia)

  • Nissa Nissa

    (Student, Department of Accounting, Padjadjaran University, Indonesia,)

  • Sugiono Paulus

    (Faculty of Economic and Business, Padjadjaran University, Bandung, Indonesia)

  • Harry Suharman

    (Faculty of Economic and Business, Padjadjaran University, Bandung, Indonesia)

  • Meiryani Meiryani

    (Department of Accounting, Faculty of Economics and Communication, Bina Nusantara University, Jakarta, Indonesia.)

Abstract

The current study fills the gap of the literature by analyzing the contribution of intangible resources in affecting firm s environmental performance. In doing so, the authors aim to examine the contribution of organization s reputation in driving firm s environmental performance. Furthermore, the contribution of the current study is extended to study the crucial role of green intellectual capital in influencing sustainable performance. In this regard, the study measures intellectual capital in the form of green human capital, green social capital and green relational capital in realizing their impact on firm s environmental performance. Confronting the patterns of strict natural traditions and prominent ecological awareness, organizations ought not freeze or overcompensate from the existing ecological regulations as these natural patterns could be moved toward the green practice that may drive them to convey sustainable development and bring consensus in the environmental and organizational objectives. Unlike viewing ecological policies as hindrances of firm's future improvement, the findings of the current study concentrate on finding the right assessment of intangible resources in carrying efficiency in firm's course of sustainable practices by evaluating its impact on environmental performance. The results of PLS-SEM confirm that organizational reputation and green intellectual capital have positive and significantly influenced on environmental performance. The results of partial least square structural equation modelling confirm that a unit increase in green intellectual capital bring 0.449 unit increase in environmental performance of multinational firms in Indonesia. Moreover, a unit increase in organizational reputation also brings positive increase by 0.424 unit in environmental performance in Indonesia multinational firms.

Suggested Citation

  • Winwin Yadiati & Nissa Nissa & Sugiono Paulus & Harry Suharman & Meiryani Meiryani, 2019. "The Role of Green Intellectual Capital and Organizational Reputation in Influencing Environmental Performance," International Journal of Energy Economics and Policy, Econjournals, vol. 9(3), pages 261-268.
    • Handle: RePEc:eco:journ2:2019-03-29
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    2. Meidijati Meidijati & Yvonne Augustine, 2022. "The Effect of Tax Accounting, Green Accounting, and Carbon Accounting on Environmental, Social, and Governance Performance: Moderated by Green Intellectual Capital," Technium Social Sciences Journal, Technium Science, vol. 31(1), pages 371-387, May.
    3. Rista Bintara & Winwin Yadiati & Muhammad Wahyudin Zarkasyi & Nanny Dewi Tanzil, 2023. "Management of Green Competitive Advantage: A Systematic Literature Review and Research Agenda," Economies, MDPI, vol. 11(2), pages 1-21, February.
    4. Nikolaos S. Trevlopoulos & Thomas A. Tsalis & Konstantinos I. Evangelinos & Konstantinos P. Tsagarakis & Konstantinos I. Vatalis & Ioannis E. Nikolaou, 2021. "The influence of environmental regulations on business innovation, intellectual capital, environmental and economic performance," Environment Systems and Decisions, Springer, vol. 41(1), pages 163-178, March.
    5. Edyta Bombiak, 2022. "Green Intellectual Capital as a Support for Corporate Environmental Development—Polish Company Experience," Energies, MDPI, vol. 15(9), pages 1-18, April.
    6. Khaddage-Soboh, Nada & Yunis, Manal & Imran, Muhammad & Zeb, Faheem, 2024. "Sustainable practices in Malaysian manufacturing: The influence of CSR, transformational leadership, and green organizational culture on environmental performance," Economic Analysis and Policy, Elsevier, vol. 82(C), pages 753-768.
    7. Alex Sandria Jaya Wardhana & Muafi Muafi, 2021. "Systematic mapping of green human resource management: Bibliometric analysis," Bussecon Review of Social Sciences (2687-2285), Bussecon International Academy, vol. 3(4), pages 01-10, October.
    8. Edyta Bombiak, 2023. "Effect of Green Intellectual Capital Practices on the Competitive Advantage of Companies: Evidence from Polish Companies," Sustainability, MDPI, vol. 15(5), pages 1-22, February.
    9. Ni Wayan Rustiarini & Desak Ayu Sriary Bhegawati & Ni Putu Yuria Mendra & Nyoman Utari Vipriyanti, 2023. "Resource Orchestration in Enhancing Green Innovation and Environmental Performance in SME," International Journal of Energy Economics and Policy, Econjournals, vol. 13(5), pages 251-259, September.

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    More about this item

    Keywords

    Green intellectual capital; organizational reputation; environmental performance; Indonesia.;
    All these keywords.

    JEL classification:

    • Q51 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - Valuation of Environmental Effects
    • Q56 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - Environment and Development; Environment and Trade; Sustainability; Environmental Accounts and Accounting; Environmental Equity; Population Growth
    • R11 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General Regional Economics - - - Regional Economic Activity: Growth, Development, Environmental Issues, and Changes

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