GreenHRM IJOA
GreenHRM IJOA
GreenHRM IJOA
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IJOA
25,5 Green human resource
management
A framework for sustainable organizational
762 development in an emerging economy
Pavitra Mishra
Received 8 November 2016
Revised 7 March 2017 School of Management and Entrepreneurship, Shiv Nadar University,
11 April 2017 Greater Noida, India
Accepted 19 May 2017
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Abstract
Purpose – The purpose of this study is to explore the status and challenges of green human resource
management practices in India, an under-researched area. Further, it proposes a theoretical framework to fill
the identified gaps and build a sustainable organization.
Design/methodology/approach – Multimethod approach was used. The research was conducted in two
phases. Archival research was conducted in the first phase, and a case study technique was employed in the
second phase. In the first phase, an extensive literature review was carried out to gather insights on prevalent
green human resource activities and their link with sustainable organizational development. In the second
phase, data were collected from the manufacturing organizations to analyze the status of the activities
identified in the first phase.
Findings – This study highlights status of green human resource practices such as environmental training,
green recruitment, performance appraisal, employee involvement and compensation. The findings suggest
that there is further scope to utilize the full potential of GHRM practices for encouraging pro-environmental
behavior in the organizations. Analyses of data also reveal that top-management support and mutual learning
among departments are crucial to facilitate green behaviors among employees.
Research limitations/implications – This study provides a comprehensive literature review of green-
human resource management practices. It suggests an interdisciplinary framework for building holistic
sustainable organizations by integrating learnings from green human resource management, green supply-
chain management, competitive advantage strategy and green corporate social responsibility. It highlights
gaps in the system and provides insights to managers and policy makers on building holistic sustainable
organizations.
Originality/value – This study fulfills the need to explore green human resource management in
emerging economies like India. Studies like these are more important in developing countries, which have
alarming environmental concerns and poorly implemented government regulations.
Keywords Green supply chain management, Sustainable development, Green competitive advantage,
Green corporate social responsibility, Green human resource management, Green organizations,
Sustainable organizational development
Paper type Research paper
1. Introduction
With increasing environmental ramifications, organizations globally are expected to take
responsibility for environmental management (Rondinelli and Berry, 2000). As per the
International Journal of economists, the environmental management is a priority for India because increasing
Organizational Analysis
Vol. 25 No. 5, 2017
pp. 762-788
© Emerald Publishing Limited The author extends her deep gratitude to the editor and both anonymous reviewers for their valuable
1934-8835
DOI 10.1108/IJOA-11-2016-1079 feedback.
industrialization, entrepreneurial nature and foreign investment will promote the growth of Green human
Indian economy, but, at the same time, it will demand more resources and will contribute to resource
environmental pollution. A recent study by the World Bank reports that the environmental
degradation costs India about $80bn a year; India has13 out of 20 most polluted cities; and
management
23 per cent of its child deaths could be attributed to environmental factors (Mallet, 2013
Financial Times). As per the Twelfth Five Year plan, micro small and medium enterprises
(MSMEs) not only contribute to over 40 per cent industrial production and over 45 per cent
of India’s export but also account for substantial pollution load of India. India is already 763
experiencing dangerous environmental conditions. In the recent past , India has faced
several natural calamities (List of natural disaster in India, 2016) such as the landslide in
Pune (2014), floods in Chennai (2015), a massive earthquake of magnitude 8.2 Richter in the
Himalayan region and of magnitude 6.7 Richter in Manipur (2016) and large-scale fire
destructing Uttarakhand forests (2016). Experts have claimed exploitation of natural
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resources as one of the key causes of such calamities. Hence, to avoid further environmental
deterioration owing to the exploitation of natural resources, it becomes organizations’
responsibility to plan sustainable development and facilitate environmental growth.
Moreover, organizations may also benefit from adopting environmental management
interventions as research has found that pro-environmental activities have a positive
relation with employer branding, public image, marketing opportunities, improved sales,
potential cost saving and competitive advantage (Khanna and Anton, 2002; Christmann,
2000; Shrivastava, 1995).
Environmental management is considered as an offshoot of a broader accounting
agenda, known as “triple bottom line”, which integrates social, environmental and financial
aspects (Elkington, 2006). Triple bottom line analyzes an organization’s performance in a
broader perspective rather than being restricted to profit-making. The environmental
dimension refers to attaining a balance between organizational growth and conserving
natural resources for future generations (Daily and Huang, 2001; Jennings and Zandbergen,
1995; Ramus, 2002). While the importance of environmental sustainability is discussed as a
primary objective, there is no conformity on the approach that the organizations adopt for
achieving the same. Therefore, it is important to explore the initiatives taken by the
organizations to avoid environmental disruptions and attain sustainable growth. As this
field is under-researched, it is worthwhile to point out gaps and suggest possible measures
for overcoming them (Daily and Huang, 2001; Renwick et al., 2013).
Researchers have suggested that environmental disruptions are often a result of certain
human activities. Therefore, one basic approach for curtailing such disruptions can be
exploring and altering the causal human behavior (Ones and Dilchert, 2012; Oskamp, 1995,
2000). Only a few organizations explore the internal factors, such as the role of human
behavior in protecting the environment (Davis and Challenger, 2013; Ones and Dilchert,
2012), as most of them undertake environmental development initiatives outside their
boundaries (Uzzell and Moser, 2009). Studies on green human resource management
(GHRM) are significant as it is a branch of green management philosophy which explores
the role of human behavior in environmental management (Jackson and Seo, 2010) and
sustainable development (O’Donohue and Torugsa, 2016). Opatha and Arulrajah (2014)
have explained GHRM as the policies, practices and systems of an organization green that
make its employees green for the benefit of the individuals, society, natural environment and
business. In GHRM various human resource practices, such as recruitment and selection,
performance appraisal, compensation and benefits and training, are designed in a manner to
create a workforce that understands and promotes green behavior in the organization
(Mathapati, 2013).
IJOA Further, organizational strategies for environmental management and sustainable
25,5 development will succeed when they are well-aligned with its human resource practices
(Ichniowski et al., 1997; Mendelson and Pillai, 1999; Collins and Clark, 2003). The
effectiveness of any strategic measure is dependent on the availability and capability of its
people (Boselie et al., 2001; Paauwe and Boselie, 2003; Jiang et al., 2012). Thus, efficient
workforce and human resource systems are critical for an impactful environmental growth
764 strategy. As GHRM links people with environmental sustainability, it helps in bridging the
gap between available vs required technically and managerially skilled workforce for
successful implementation of environmental management systems (Daily and Huang, 2001;
Renwick et al., 2013). Research on GHRM can suggest strategic measures for building the
capability of employees and creating a supportive culture which facilitates in adopting pro-
environmental behavior.
Though many scholars have highlighted the importance of GHRM in promoting
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2. Literature review
One of the key responsibilities of a human resource professional is getting the support of the
employees to implement environment-friendly initiatives (Priya et al., 2014). Jabbour et al.
(2010) highlighted the importance of human resource management in different stages of
environmental management system. Ahmad (2015) emphasized on the role of human
resource in engaging employees and promoting practices such as carpooling, recycling and
conservation of energy. Renwick et al. (2013) developed a theoretical model where
distinguished policies in the field of recruitment, performance and appraisal management,
training and personnel development, employee relations and reward systems are considered
powerful tools for aligning employees with a company’s environmental strategy.
Green recruitment and selection process has two parts:
(1) employing eco-friendly ways for hiring such as online tools, limited paper usage at
the time of recruitment and selection process; and
(2) measuring green attitudes at the time of selection, considering people who value
green practices and follow basic environment-friendly activities such as recycling,
less printing and conservation of energy.
Individual’s personality factors should be incorporated in green recruitment (Dilchert and Green human
Ones, 2011). They have also developed a scale to measure employee’s preferences toward resource
green behavior. Individual’s green competencies are crucial for pro-environmental
performance (Subramanian et al., 2016). On the other hand, even candidates are likely to be
management
attracted toward organizations that are environment-friendly and branded as “green”. An
effective way to attract new talent is by gaining a reputation of “green employer” (Phillips,
2007; Stringer, 2009; Guerci et al., 2016). The study by Brekke and Nyborg (2008) took a
theoretical approach and built a model to explain how environment-friendly organizations 765
can attract responsible employees. They advocated that for all other conditions being the
same, people are more likely to join socially responsible organizations. It was found that
environmental commitment of the company has a positive impact on its brand image, and
candidates gave value to the environment-friendly strategies adopted by the organization
(Grolleau et al., 2012).
The performance management system helps in analyzing the current efficiency of an
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employee, finding gaps, exploring measures for improvisation and in setting future targets.
Performance management is considered as one of the key human resource practices for
promoting environmental behavior and sustainable development, thus advocating green
performance management (Gholami et al. (2016). Green performance appraisal may be
significant because when a behavior is measured to judge an individual, its perceived value
rises and efforts to comply with the same are increased. Thus, including green behaviors in
the performance appraisal system will facilitate their adoption among employees.
Compensation and reward system is a significant human resource process through which
employees are rewarded for their performance. This system attunes individual’s and
organization’s goal. It motivates the employees to put extra efforts, which is required to meet
the deliverables. By green compensation and reward system, it means to align the system
with green behaviors and activities adopted within the organization. While performance
management system ensures evaluation of green behaviors, a green compensation system
ensures that the result of the assessment is linked with rewards and benefits. A study
conducted on 469 US firms operating in high-polluting context reported that the CEO of the
firms with high environment-friendly performance were paid more than those of
nonenvironment-friendly firms. Further, long-term company results were linked with
greater pollution prevention success in accordance to pay (Berrone and Gomez-Mejia, 2009).
Thus, green compensation and reward system can act as a potential tool to promote green
behaviors in the organization.
There are examples as to how modern organizations are using green compensation and
reward system for promoting environment-friendly behaviors; for instance, CIPD/KPMG
conducted a survey, which indicated that eight per cent of the organizations in the UK were
rewarding green behaviors with various types of awards and financial incentives (Phillips,
2007). Employees should be rewarded with bonuses for their efforts in creating an
environment-friendly culture (Liebowitz, 2010). Rewards should be given for promoting
green behaviors in the workplace, lifestyle and reducing carbon footprints (Pillai and
Sivathanu, 2014).
Green employee involvement is defined as “Creating an environment in which people
have an impact on decisions and actions that affect their jobs” (Quagraine, 2015, p. 3).
Employee involvement is about taking suggestions from employees on new environmental
strategies and collecting feedback to improve the existing practices. Employee involvement
motivates employees, makes them responsible and improves their cooperation in the
greening of the organization. Phillips (2007) explained, “The use of employee participation in
green HR has been noted to help prevent pollution from workplaces”. Employee
IJOA involvement, particularly at the managerial level, is a crucial factor to motivate pro-
25,5 environmental behavior among employees (Zibarras and Coan, 2015). It was found that
emissions reduction at the workplace level is more likely where employee participation has a
substantive role, including deeper and wider influence in organizational decision-making
(Markey et al., 2016).
Employee involvement also implies empowering employees for taking decisions.
766 Research has shown that empowerment promotes self-control, innovative thinking and
problem-solving and is directly related to productivity and performance (Renwick et al.,
2013; Wee and Quazi, 2005). Green employee empowerment is key to enhancing an
organization’s outcome, where employees are motivated to pursue green goals more
effectively and efficiently (Tariq et al., 2016). Organizational citizenship behavior for
environmental concern is a discretionary activity and impacts the environmental
performance of the firm (Paillé et al., 2014). Daily et al. (2012) conducted a study in Mexico
and found that environmental performance is positively related to employee empowerment.
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3. Methodology
This study uses a multi-method research to achieve its objective. The study is divided into
two phases. In the first phase, archival research was conducted. Archival research can be
used in various fields for building a reliable knowledge base (Tranfield et al., 2003). In this
study, archival research provided insight on existing GHRM practices by congregating
available research studies. A literature review of past ten years research (2006 to 2016) was
conducted using search engines such as EBSCO, PROQUEST, JSTOR and Google Scholar.
The keywords used were “GHRM”, “GHRM with environmental management”, “GHRM and
corporate social responsibility” and “GHRM and sustainable development”. Table I provides
a summary of the studies, which were reviewed for archival research in the first phase of the
study.
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Markey et al. Employee involvement Empirical Employee participation increases emissions reduction Australia
(2016)
Guerci et al. (2016) Recruitment Empirical Support the impact of a green reputation on attracting Italy
applicants, but no impact of information on the recruitment
website about company environmental policies and practices
Guerci and Carollo Recruitment, environmental Empirical Explores the HRM-related paradoxes perceived by Italy
(2016) training, employee organizations developing environmental sustainability via
involvement, performance HRM
management and
compensation management
Gholami et al. Performance management Empirical Performance management and employee involvement are Malaysia
(2016) and employee involvement crucial for sustainable development
Subramanian et al. Recruitment and selection Empirical Individuals’ green competencies are crucial for pro- China
(2016) environmental performance
Tariq et al. (2016) Employee empowerment Theoretical Showed that there exists a potential mediating effect of Literature Review
and motivation employee empowerment on employee motivational levels for
pursuing GHR practices
Zibarras and Coan Employee involvement Empirical Managers’ involvement is one of the most crucial practice to U.K.
(2015) encourage pro-environmental behavior
Ahmad (2015) Green HR initiatives Theoretical Review of green human resource initiatives, such as Literature Review
conservation of energy, recycling and waste disposal, paperless
office, green building and green reward system
Saturnino Neto Environmental training Empirical Environmental training facilitates development of low-carbon Brazil
et al. (2014) products
Paillé et al. (2014) Employee Involvement Empirical Organizational citizenship behavior for the environment fully China
mediates the relationship between strategic human resource
management and environmental performance, and that internal
environmental concern moderates the effect of strategic human
resource management on organizational citizenship behavior
for the environment
(continued)
literature review
resource
included in the
Summary of articles
767
Green human
Table I.
management
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25,5
768
IJOA
Table I.
Authors (Year) HRM practices Methodology Findings Country
Pillai and Compensation and reward Theoretical Green rewards can be used for promoting green behaviors in Literature Review
Sivathanu (2014) system workplace and lifestyle, reducing carbon credits
Priya et al. (2014) Green HR initiatives Theoretical A key role for HR environmental executives is to guide line Literature review
managers for gaining full staff co-operation for implementing
environmental policies
Jabbour et al. Environmental training Empirical Training was found to obtain the highest average among Brazil
(2013) human resource practices
Renwick et al. Employee motivation and Theoretical Employee training and opportunities provided are crucial Literature review
(2013) involvement
Grolleau et al. Recruitment, employer Empirical Employees are concerned with the value that company gives to France
(2012) branding green initiative
Teixeira et al. Environmental training Empirical Good training supports implementation of environmental Brazil
(2012) management system and positive culture
Daily et al. (2012) Employee empowerment, Empirical Implementation of green management principle is associated Mexico
environmental training, and with empowerment, good training and positively effects
teamwork employee performance
Dilchert and Ones Recruitment Theoretical Suggested to incorporate personality factors into green Literature Review
(2011) recruitment
Ji et al. (2011) Environmental training Empirical Employee training has direct and moderating influence on China
sustainable development
Daily et al. (2011) Environmental training, Empirical Training and employee involvement will help employees USA
Employee involvement, understand opportunities and challenges associated with
Team work environmental management system. Team work plays a
mediating role between independent variables and
environmental performance
Zoogah (2011) Environmental training Theoretical Green training and development educate employees about the Literature review
value of environmental management, provide opportunity to
engage them in environmental problem-solving and build their
competencies
Sarkis et al. (2010) Environmental training Empirical Training leads to positive perception of environmental Spain
management system
(continued)
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Liebowitz (2010) Green HR initiatives Theoretical Emphasize on changing various human resource system to Literature Review
cultivate a sustainable culture
Jabbour et al. Green HR initiatives Empirical Importance of human resource dimensions in different stages of Brazil
(2010) environmental management
Berrone and Green rewards and Empirical The firms having eco-friendly performance paid their CEOs U.S.A
Gomez-Mejia compensation more than non-eco-friendly firms
(2009)
Stringer (2009) Recruitment Empirical Graduates and other job applicants pay attention to the U.S.A
environmental management practices and performance of
companies and use such information when deciding where to
apply
Renwick et al. Recruitment, environmental Theoretical Reviews literature on green HRM Literature review
(2008) training, employee
involvement, performance
management and
compensation management
Brekke and Recruitment Theoretical Employees will prefer environmental friendly companies more Norway
Nyborg (2008) than non-environmental friendly companies, especially in case
offered same pay
Philips (2007) Recruitment and Empirical Increasingly, firms are beginning to recognize that gaining a UK
compensation reputation as a green employer is an effective way to attract
new talent
Collier and Green rewards and Theoretical Organizational culture, top-management attitude and Literature review
Esteban (2007) compensation; associated rewards impacts employees motivation and
op-management support commitment for CSR ‘buy-in’
Perron et al. (2006) Environmental training Empirical Emphasized on customized environmental training and its Canada
evaluation
Table I.
resource
769
Green human
management
IJOA With the understanding from the literature review, ten GHRM practices were identified.
25,5 These ten identified GHRM practices include recruitment and selection, environmental
learning and awareness, performance appraisal system, compensation/reward system,
employee involvement, ISO certification, green teams, green corporate social responsibility
(CSR), green cafeteria and green printing and recycle of paper. In the second phase, the
objective was to map application of the ten identified GHRM practices in the Indian
770 manufacturing organizations. Specifically, two points were explored:
(1) The status of GHRM practices.
(2) What are the key factors, which may further motivate implementation of GHRM
practices?
3.1 Sample
Data from six manufacturing organizations were collected. These organizations were
operating as paints, automobiles and electronics manufacturers. There were two main
reasons to focus on the manufacturing sector. First, the manufacturing sector is largely
involved in the utilization of natural resources, and there is a grave need to monitor
industrial pollution in this sector. Second, the manufacturing sector is considered significant
as it can help India cope with an economic crisis, create new jobs and boost the gross
domestic product. There is increasing focus on the manufacturing sector by the Government
of India, which is taking several initiatives to promote the same. The Chief Statistic Office of
India forecasted that the manufacturing sector would grow at a robust pace of 9.5 per cent in
2015-2016 and 12.6 per cent in the third quarter of the following year. As there is high
chance that the manufacturing sector will grow in the coming times, it is appropriate to
focus on the same.
4. Results
Table II notes the ten GHRM practices extracted from the global trends as said earlier the
first phase of this study. In the second phase, interviews were conducted to gather data on
S. No. Green HRM Practices Org 1 Org 2 Org 3 Org 4 Org 5 Org 6
Green human
resource
1 Recruitment and Selection: management
Social media H H H H H H
Online job portals H H
Examine green traits
2 Environmental training and Learning:
Formal training H H H 771
Informal ways H H H H H H
3 Performance appraisal system H H H H H H
4 Compensation/reward system:
Activities included in performance appraisal H H H H H H
Other exclusive green behavior H
5 Employee involvement H H
6 Green teams H
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7 Pro-environment CSR H H H
8 Green cafeteria H H
9 ISO certification:
ISO 9001 H H – H H H
ISO 14001 H
10 Green printing and paper optimization/recycle:
Online portals for policies and claims H H H H
Record usage of paper
Paper recycle H H H H H H
Table II.
Status of green-HRM
Notes: (H) = practice is followed; () = practice is not followed; (-) = Not applicable, as ISO 140001 exists practices across six
rather than ISO 9001 organizations
the identified GHRM practices. Table II also presents the data on the status of six
manufacturing organizations in respect to these GHRM practices. Below are the descriptions
for a better understanding of the same:
by all the organizations. Organization 1 informed that they had recently organized a
program where a session focused on “environmental awareness and international best
practices”. Organization 3 closely worked with an NGO, which organizes campaigns to
“save and plant trees”. This organization’s attempt to link its people with the NGO
stimulated importance and awareness for a healthy environment. The human resource
representative from the organization stated, “We have posters emphasizing on saving and
planting trees displayed at various locations in our office. We are also invited to volunteer
for such pro-environmental activities from an NGO” (HR Representative, Organization 3,
February 15, 2016). A representative of Organization 5 informed:
Guards switch-off unrequired lights after office hours [. . .] Once we were shown data on how
much energy and money can be saved if we turn off PCs, TVs, lights, even switches after re-
charging mobile, etc. They advised to make it a habit and practice it beyond office boundaries like
home (HR Representative, Organization 5, March 14, 2016).
Organizations 3 and 5 informed that they collected feedback from their employees on
“how to make their organization an environment-friendly place”. However, only
Organization 3 mentioned that they had applied some of the suggested points, which were
considered as valid by the management. As quoted:
[. . .] There are various recreational clubs. An employee suggested us to have a “bicycle club”. In
this, we rent bicycles to those who like bicycling. The time-to-time club also organizes group
bicycle rides. Many people joined because of peer influence and good feedback (HR
Representative, Organization 3, 5th February 2016).
Another suggestion implemented was “[. . ..] Put posters like, ‘Switch off the lights if you are
the last one to leave’, ‘Save water: small adjustments can make big impacts’ etc. at various
places including washrooms” (HR Representative, Organization 3, February 5, 2016). In the
case of Organization 5, it was shared that the feedback collected is yet to be documented and
processed. There was some interest shown for involving employees like, “So far no such
attempt is made but going forward we will certainly involve our people in this [. . ..] it will be
a management decision” (HR Representative, Organization 6, May 19, 2016).
and suppliers” (HR Representative, Organization 6, May 19, 2016). Other organizations were
involved in CSR, which were related to rural development, child labor and education.
the top-management and mutual learning and integration of green practices across.
Representatives from all the six organizations consistently agreed that top-
management’s support and efforts are crucial for promoting environmental-friendly
behaviors in the organization. Representatives also pointed a need for top-management to
clarify the role of human resource professionals in promoting environmental-friendly
behaviors in the organization. Organization 5 representative stated:
At my level, I help people in connecting and carpooling, but for a bigger impact we need clarity on
how we can impact [. . .] more formalization and support is required.
Another mentioned, “These are policy level decisions, and willingness of top-management is
a must”. Few other experts highlighting the importance of leader’s involvement are stated
below:
The gravity of any new initiative are automatically increased if senior leaders are actively
involved (HR Representative, Organization 2, January 11, 2016).
Green behaviors like switching lights, less printing, optimum use of water, carpooling are
voluntary actions by employees [. . .] Therefore it is important that leaders should demonstrate
such socially responsible behavior. Since these behaviors are linked with the habit of the people
there is a need to conduct training and learning sessions to increase awareness and alter
behaviors (HR Representative, Organization 4, February 26, 2016).
[. . .] One needs to be thoughtful about how to formally introduce it like include pro-environmental
behaviors as a part of duty in the job description, communicate “greening” as an important goal,
increase awareness among employees especially, the new hires about environment-friendly
initiatives taken by the organization. This is not possible without top-management’s go (HR
Representative, Organization 5, April 21, 2016).
[. . ..] most of the actions are preventive and reactive we need a more proactive approach from the
management. It is a grave issue with serious repercussions (HR Representative, Organization 6,
May 19, 2016).
Only representatives of Organization 3 were confident about top-management support for
the promotion of green behaviors:
The company Magazine often has articles related to environmental issues from the head of CSR or
his team. We also received an e-mail from the head of the CSR division on the Earth-day (HR
Representative, Organization 3, February 15, 2016).
IJOA On probing about the content of the e-mail, it was told:
25,5 The e-mail briefed about various initiatives taken and future goals of the organization for
environmental development. He congratulated employees for their support and also requested for
further assistance. I know he also writes blogs on environmental topics (HR Representative,
Organization 3, February 5, 2016).
In other cases, though leadership support was considered as an important factor,
776 representatives were unsure about the top-management’s outlook toward this issue.
However, all the representatives agreed on the emphasis that the top-management gives to
ISO certification.
As top-management thoughts are also reflected in vision and mission statements of the
company, the researcher also examined them. It was observed that four of the six
organizations had expressed the importance for greening in their vision or mission
statement. For example, Organization 2 emphasized on “green products”. Organization 4
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mentioned, “Combating climate change and protecting natural resources” as one of their key
responsibilities. Organization 6, a paint manufacturer, said on its website “Address green
and sustainability through advanced polymers and chemistry”. Though vision and mission
statements reflect values of leaders, the representatives emphasized on the requirement for
practical actions and presence of leaders for encouraging pro-environmental behaviors
among employees.
Another common issue was the lack of mutual learning and integration of green
practices across departments. A representative mentioned, “The idea for a holistic
development is to learn and work together toward the same objective” (HR Representative,
Organization 1, 8th January 2016). Another stated, “[. . .] for a successful greening of the
organization, it is also important to connect its people with its process, technology, and
supply-chain” (HR Representative, Organization 5, April 21, 2016). Additional excerpt
echoing the thought was “[. . ..] if we want to transform our company to ‘green company’
then we must work together and take steps which are commonly directed toward the goal of
greening” (HR Representative, Organization 6, May 19, 2016).
5. Discussion
This section has two objectives. First, it summarizes interpretation of the findings. Second, it
suggests a few interventions, which, if followed, can deal with the two key factors hindering
greening of the organization in India.
The purpose of the study was to understand the status of GHRM practices in the Indian
manufacturing sector and to explore factors that may encourage green behaviors. The data
analysis suggests that the organizations have certain existing practices of GHRM, but these
practices are neither formally organized under GHRM initiatives nor diligently followed.
Though there are instances of all organizations making efforts to increase awareness
through informal means, such as posters and internal campaigns, only three provided
environmental training. Moreover, no details were available on environmental training
budget. A probable reason for the prevalence of informal means in raising awareness is that
they are less expensive than formal environmental training. Further, no attempt was made
to evaluate the effectiveness of such informal approach for raising awareness. Barr (2003)
raised questions about the extent to which informal means bring changes in employee’s
behavior. Irrespective of the potential cost, it is important that organizations provide their
employees with formal education programs and training to promote pro-environmental
behavior. Evaluation and feedback for formal training programs should also be
documented.
In the case of recruitment and selection, currently, organizations are only practicing “use Green human
of online portals and social media”. No consideration was made for accessing green resource
personality and skills in the selection process. During performance appraisal, only those
aspects, which are about production and machinery were evaluated. There is no particular
management
point about green behaviors, which are measured in the appraisal process. Green key
performance indicators provide a comprehensive view of the manufacturer’s environmental
performance and a method to collect, visualize and prioritize improvement efforts (Kurdve
and Wiktorsson, 2013). It was also revealed that compensation was linked with only those 777
aspects, which were about proper functioning and maintenance of the machinery. Rewards
were not used extensively to encourage the pro-environmental behavior. Only two
organizations linked rewards exclusively with green behaviors such as for voluntarily
planting trees and educating peers to reduce wastage. One reason for the insufficient use of a
reward system is that employees are motivated for different reasons, and thus it is hard to
implement a reward system, which can cater to the need of everyone (Fernandez et al., 2003).
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Further, the findings suggest that there were issues with the conceptualization of the
green team, which may also be useful in aligning activities among departments. Pro-
environmental behavior from employees is a kind of change that employees are expected to
bring in their action. Any change to be successful needs acceptance and willingness from the
people who will execute it. Though willingness can be attained by involving people, the data
represent that not many efforts were made to take feedbacks and suggestions from the
employees.
It is also noted that none of the organizations have a mechanism to access the impact of a
particular GHRM initiative on employee’s pro-environmental behavior. All this, despite the
fact that several empirical studies (Jabbour and Santos, 2008; Ramus, 2002; Ramus and
Steger, 2000; Daily and Huang, 2001; Govindarajulu and Daily, 2004; Rimanoczy and
Pearson, 2010; Jackson et al., 2011) have highlighted a significant role of green human
resource practices such as recruitment, appraisal, rewards and training, in greening of the
organization. Further, it was observed that proper formalization and documentation of
GHRM practices is lacking, thus making their existence at a superficial level. Without a
formal system, it is also difficult to evaluate the impact of GHRM practices in promoting
pro-environmental behavior among employees. There is a need to account for both the
number of environmental initiatives introduced and their associated impacts on the
environment (Ones and Dilchert, 2012). Moreover, if an organization can show evidence of
how GHRM practices help in attaining a socially desirable “green goal” and providing
additional benefits (such as cost control, employee productivity or talent acquisition), then it
may act as a role model. Thus, this study suggests, there is high scope for Indian
manufacturing sector to improvise GHRM practices. The positive line of thought is that the
representatives of administered organizations accept and value the need for greening. They
expressed eagerness to receive clarity on their roles and how can they support the greening
of the organization. They were also ready to explore new and innovative measures; for
instance, representatives from Organization 6 showed interest in incorporating employee
involvement and representatives from Organizations 2, 4 and 5 liked the idea of having
“green teams”.
An interesting observation was that although research has indicated that vision/
mission statements are signals from top-management to employees (Ramus and Steger,
2000) and four organization’s vision/mission statements did include pro-environmental
statement, the representatives emphasized on the need of active participation and
physical perceptibility of senior management. This clearly indicated that strong
ground action and presence of top-management is required, and mere pro-
environmental vision/mission statements will not promote environment-friendly
behaviors among employees.
The other key concern was that though the need for mutual learning and integration of
greening practices across departments had been felt by all the representatives, there was no
provision reported for the same. A probable reason for this may be a lack of formalization
and strategic interventions about greening initiatives. Lack of participation from senior
management will also hinder the occurrence of such organized interrelated set up.
In the paragraphs to follow, this study suggests measures for top-management support
and integration of various divisions, as these were the two key concerns expressed during
the interviews.
Green -HRM
*Integraon of
Green-HRM, GSCM,
Green CSR, and
Green compeve
advantage strategy
Green competitive
advantage strategy
Figure 1.
Interdisciplinary
framework for
Notes: * Green HRM: Green human resource management; GSCM: Green building a holistic
green organization
supply chain management; Green CSR: Green corporate social responsibility
IJOA employees are encouraged to adopt green practices. For example, while evaluating
25,5 employee’s performance, one should give importance to green practices. Further, it is
important that companies should link each team with their environmental targets. There
should be financial as well as non-financial rewards, such as recognition and praises, which
are associated with the target. One can also have a disciplinary committee, which is
responsible for taking corrective measures against an employee who ignores pre-set rules of
780 green conduct.
Employee practices (such as training, team building and socialization) are more easily
followed across the supply chain than work rules and hierarchically determined conditions
of employment (Scarbrough, 2000). Once GHRM practices are integrated with GSCM
practices, it may provide mutual support and facilitation. For example, linking performance
appraisal with eco-design will motivate employees to work toward environment-friendly
designs. Adequate environmental training may increase awareness and develop skills.
Similarly, linking compensation and rewards with green practices may promote green
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behavior and build a green culture in the organization. The motivation for designing energy-
efficient products and processes may be enhanced by linking them with incentives for
increasing their acceptance (Gupta, 2008).
Another GSCM practice is green purchasing. Green purchasing implies an organization
should also focus on green practices of its suppliers (Lee, 2008). An organization may
collaborate with its suppliers, particularly if they are small or medium-sized, by
environmental funding initiatives, joint research, training, etc. Collaboration may be useful
in inculcating green practices among suppliers. Other than this an organization may simply
demand its suppliers to follow ISO14000 for a long and fruitful business relationship. It has
been observed, often external motivators such as customer preferences and government
regulations are key drivers to follow ISO14000 (Heras-Saizarbitoria et al., 2011; Vachon,
2007). One example of this is IKEA – one of the leading furniture and home accessories
company. IKEA adopts compliance and evaluative approach with its suppliers to ensure
they apply green practices. It also supports its suppliers with the required funds for meeting
its code of conduct. Just like an organization makes an investment for green purchasing, it
also needs to invest in creating a green workforce. For example, providing training to
employees for building attitudes, skills and commitment toward greening. Environmental
training can modify attitude, belief (cognitive), feeling (affect) and action (behavioral) toward
greening. Further, as in green purchasing, one carefully selects its suppliers and follows
strict compliance for environmental issues; similarly, during recruitment and selection,
weight should be given to candidates who value pro-environmental behavior. Some other
measures that can encourage green behaviors may be emphasizing it in the job description,
insisting them during induction program, measuring the impact of the existing training
system and resources and collecting feedback for improvising.
5.3.2 Green human resource management, green supply-chain management and green
competitive advantage strategy. Moving forward, integration between GHRM, GSCM and
green competitive advantage is explored. Green strategic interventions, such as GHRM and
GSCM, can provide green competitive advantage either through innovation or cost
reduction. When we refer GHRM as a cost reduction strategy, it is important to understand
that green organizations may not only help in controlling adverse impact on the
environment but also will earn positive reputation, brand value, increased sales, talent
acquisition, engaged workforce, better employee productivity, motivation and retention. As
pointed out by Dechant and Altman (1994), employee’s perception about the behavior of
organizations toward environmental concerns is important. In a survey done by Hewitt and
Associates (2010), it was found that employees who perceived their organizations actively
participating in CSR were highly engaged. Neil Crawford, Hewitt’s leader of the study, Green human
explained that employees have great regard for employer’s CSR efforts. If for any reason an resource
employer has to scale back on its CSR/environmental activities, then it can negatively
impact employee’s motivation and may cause employee turnover. Nielsen, the market
management
research firm, found that 68 per cent of consumers in Australia are willing to pay more for
products from companies who are concerned with the environment. According to an Ipsos
Mori survey, 80 per cent (81 per cent in the USA) of respondents across 15 developed nations
would prefer working for a company that “has a good reputation for environmental 781
responsibility”. A poll on green employment by MonsterTRAK.com, a job website, found
that 92 per cent would be more inclined to work for a company that is environment friendly.
Most importantly, Gallup’s surveys suggest Indians are more worried about their
environment than are people in rich countries (Pandimotta, 2011). Hence, at a larger level,
greening initiatives help organizations with cost-saving because few major cost centers for
any organizations, namely, talent acquisition, low productivity and employee turnover are
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minimized.
GHRM and GSCM are innovative measures to attain competitive advantage. The
literature on innovation suggests that there is no dearth of research which focuses on
product innovation for sustainable development. Whereas, process and service innovation
for sustainable development is comparably less researched (Yarahmadi and Higgins, 2012).
GHRM can contribute to process innovation by finding new ways to inculcate green
behavior. It is possible by increasing participation, i.e. by involving employees in providing
suggestions and feedback for the greening of the organization and providing flexibility to
initiate new ideas in the organization, etc. Further, the focus should be on facilitating
activities such as car-pooling, job-sharing, teleconferencing and virtual interviews,
recycling, telecommuting, online training, e-filing of reimbursement claims, conducting
energy consumption audits and optimally utilizing the energy-efficient office spaces.
5.3.3 Green human resource management, green supply-chain management, green
competitive advantage strategy and green CSR. After exploring integration and mutual
learning between GHRM, GSCM and green competitive advantage strategy, this study
moves to the fourth quadrant of Figure 1: Green CSR. As organizations are an open system,
their primary goal should be green CSR, i.e. creating common value for the wider good.
Thus, organization’s efficiency should not be limited to profit-making but should also be
measured by calculating its impact on the environment and social developments. This
multifaceted perspective to access organization’s success considers benefit it brings to
different groups of relevant stakeholders, i.e. employees, customers, shareholders and
suppliers (Freeman, 1984). Environmental growth is desirable for humanity. The concept is
broadly entitled in “stakeholder theory” and suggests that a firm should pursue strategies
that consider the parties affected by decisions while trying to minimize damage or maximize
benefits to the representative groups (Freeman, 1984).
For a sustainable economy, organizations need to look beyond their goal of profit-making
and aim at creating common value. A large number of organizations claim to propel
commendable CSR to attain common value. However, Lieberwitz (2005) explains that as
CSR is a voluntary activity, organizations practice it at a superficial level and their main
goal remains profit-making. Mintzberg et al. (2002) suggest that many organizations work
on a series of half-truths with the main focus on profit. Driving factors for most of the CSR,
including green CSR, are of external nature, such as government regulations, client pressure,
customer attraction and desire to control risk. If green CSR initiatives are only taken outside
the boundary of the organization, then it is difficult to attain the status of a truly green
organization. It is important also to focus internally, involve employees, and bring changes
IJOA in policies and practices for an impactful CSR. GHRM can help in bringing such internal
25,5 modifications. Interconnecting GHRM practices (such as green climate, recruitment, task-
force, environmental-training, employee participation, performance management system,
compensation and benefits system) with green CSR will bring clarity to employees about
meaning and importance of greening for their organization. It will also build a robust system
dedicated toward a pro-environmental goal with a willingness to incorporate necessary
782 changes. Similarly, GSCM can contribute by enabling internal changes through green
product development and green packaging. In the present scenario, where depletion of
resources and increasing environmental hazards are primary concerns, greening of the
organization will help in creating common value and competitive advantage.
Thus, integration between the four areas (GHRM, GSCM, green competitive advantage
and green CSR) will create synergies across the organization leading to sustainable growth.
Whereas, non-integration of the departmental activities may create conflict leading to foul
practices, disapprovals and contradictions. The organizations operating in the intersection
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region will consider themselves to be responsible not only toward its profits but also toward
its people and the planet. These organizations will aim for the wider good of all the
stakeholders and will take responsibility for the impact its actions bring to the environment.
To achieve their goal, they integrate their policies and practices such that they can create
common value. Such rare and innovative conglomerate will also be a differentiating
strategy, providing a competitive advantage. The intersection aims to form a “holistic green
organization”, which not only meets its financial objective but also sets a sustainable
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