The impact of employee’s perception of implementing green supply chain management on hotel’s economic and operational performance

Abstract

Purpose This study aims to quantify the associations among employees’ perception of implementing green supply chain management (i.e. through seven variables, namely, internal environmental management, green information systems, green purchasing, tourist perceptions, environmentally friendly activity, employee emotional behavior and environmental legislation) with hotel’s economic and operational performance. Design/methodology/approach A survey instrument is used to examine the relationships in the proposed model by using the structural equation modeling (SEM) technique. An analysis of the primary data (n = 150) collected from employees in Aqaba hotels located in Jordan is conducted to test the relationship between exogenous and endogenous constructs expressed in the proposed structural model. Findings The findings revealed that while green information systems, employee emotional behavior and environmental legislation affected hotels’ economic performance, internal environmental management, green purchasing, tourist perceptions and environment-friendly activity did not. Also, hotels’ economic performance positively impacted hotels’ operational performance. However, as the coefficient of determination (R²) for the endogenous research variables for economic performance and operational performance was 0.16 and 0.17, respectively, the relationships between the exogenous and endogenous constructs were not supported. Practical implications This study will contribute towards a better understanding of employee perceptions of implementing green supply chain management and hotel performance in Aqaba City. Originality/value This is the first study that adequately covers the associations among employee perception of implementing green supply chain management on hotel’s economic and operational performance in the Middle East.