A New Paradigm for Sustainable Supply Chain Management for Business Operation

Abstract

Background: The rapid developments in society and population, climate change, and environmental challenges are crucial factors impacting business operations and sustainability. To adapt to these changes effectively, businesses need to understand these factors from the dimensions of society, the environment, and the economy. Method: This research investigates these factors by deploying a questionnaire to gather data from 400 participants and employing confirmatory factor analysis as well as structural equation modeling to identify the relationships among these factors. Results: This study confirms the significant role of policy and strategy in sustainable supply chain management for operations in the public sector and institutions. This new perspective allows stakeholders to respond to changes more effectively with sustainable supply chain management while maintaining flexibility in application. Additionally, this study identifies the dimension of institution and policy as another key factor. Conclusions: These findings provide in-depth insights into the key factors of sustainable supply chain management for business operations. These insights can aid in developing strategies and setting targets aligned with sustainable development goals, responding to changes in society, the environment, the economy, as well as in institutions and policy, leading to long-term sustainable business operations.