Does ISO 14001 and Green Servitization Provide a Push Factor for Sustainable Performance? A Study of Manufacturing Firms

Abstract

This study contributes to the development of a green servitization framework to achieve manufacturing firms’ sustainable performance using ISO 14001 as a driving factor in their operational management system. Manufacturing firms are becoming concerned due to the associated problem of physical flow of materials and energy through the ecosystem, which can hinder resource sustainability for future generations as a result of the enormous waste and emission of carbon produced by their operations. This is possible due to a lack of implementation of ISO 14001 in the production process, leading to a waste of resources and negative environmental effects on people and the planet, which requires an urgent green solution. Therefore, the present study investigated the adoption and implementation of ISO 14001 as a catalyst of a green initiative towards achieving sustainable performance. After a review of studies in operational and environmental management, a quantitative methodology was adopted in three research design phases that included identifying dimensions for survey measurement instruments, survey validation, a pilot study, as well as data analysis to investigate the mediating effect of ISO 14001 on the relationship between green servitization and sustainable performance. The results show a significant and positive mediation effect of ISO 14001 on the interaction between green servitization and sustainable performance. In conclusion, these findings will enhance the operation and performance of the environmental management system required for the manufacturing firm and improve the practice of green service toward sustainable performance.