The Drivers and Performance of Environmental Practices in the Chinese Construction Industry

Abstract

With the global concern of environmental protection and sustainability, construction firms are required to develop and implement environmental practices (EP) to mitigate the negative impacts of project activities on the environment. This paper attempts to explore two potential drivers (i.e., government regulations and project team’s knowledge and skills) and performance outcomes (i.e., environmental performance and organizational performance) when the firm implementing EP in construction projects. A survey-based research design was developed to measure the drivers, EP implementation, and performance and to collect data in the Chinese construction industry. Structural equation modelling was used to test the hypothesized relationships. The results indicate that a project team’s knowledge and skills, rather than government regulations, are the key driving factors for the implementation of EP in construction projects. EP implementation is proved to have a positive impact on both environmental and organizational performance. This study provides empirical evidence for project environmental management research and offers managerial insights on how to promote EP in the construction industry.