Effects of green human resource management, internal environmental management and developmental culture between lean six sigma and operational performance

Abstract

Purpose This study aims to investigate how Lean Six Sigma (LSS), a widely used paradigm that promotes competitive advantage of different organisations in a more sustainable and environmentally friendly way, affects operational performance in different organisational contexts. Although LSS is widely used to improve operational performance, the impact of LSS on operational performance appears to be different in different organisational contexts, prompting the attention of researchers and managers to shift from lean philosophy to the impact of contextual variables on the effectiveness of LSS implementation. Design/methodology/approach This study uses a quantitative research design and conducts an empirical study in Pakistan. The sample consists of 339 management employees with an effective response rate of 67.8% in various sectors. In this study, partial least square structural equation modelling is used to examine the relationships among the variables using the resource-based view (RBV) and dynamic capability theory (DCT) to support the model of this study. Findings This study reveals that the relationship between LSS and operational performance is partially mediated by green human resource management (GHRM) and internal environmental management (IEM). The moderating effect of the organisational developmental culture between LSS and operational performance is not identified, implying that the effect of developmental culture could vary under different cultures. Originality/value There is a lack of empirical studies investigating the role of GHRM, IEM and developmental culture in developing countries. This study extends the literature on the RBV and DCT in operational performance. The study’s outcome provides theoretical and practical implications for enhancing the effect of LSS implementation on operational performance in focal small and medium-sized enterprises (SMEs) through human and environmental management factors.