Green supply chain management concepts and natural resource based view

Abstract

The global economic is seeing significant intense competition for environmentally friendly products. Greening the supply chain has become a potentially valuable strategy of securing competitive advantage with the aim to reduce cost and satisfy customer needs as well as to take responsibility for reducing the environmental risks. Green Supply Chain Management (GSCM) has emerged as the key approaches in the supply chain management with the environmentally conscious mindset and involves addressing the influence and relationships of supply chain management to the natural environment. The appropriate development of GSCM concepts and practices may indeed aid in lessening the environmental burden as it is perceived to be the innovative management approach which enables firms to minimize the adverse environmental impacts from the acquisition of raw material up to the final use and disposal of the product. The objective of this study is to analyze the GSCM concepts through the theory of Natural Resource Based View (NRBV) of firm. The study provides explanation on how the organization's resources and capabilities are developed through the implementation of GSC practices to achieve the environmental objectives. The aim of this study is to provide useful references for managers to embark on GSC practices implementation and the influence of the performance outcomes.