Green supply chain practices and sustainable performance

Cleaner Logistics and Supply Chain 4 (2022) 100046
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Cleaner Logistics and Supply Chain
journal homepage: www.elsevier.com/locate/clscn
Green supply chain practices and sustainable performance of mining firms:
Evidence from a developing country
Benedict Ofori Antwi a, Daniel Agyapong b, Dominic Owusu a,⇑
a
b
Department of Marketing and Supply Chain Management, University of Cape Coast, Cape Coast, Ghana
Department of Finance, University of Cape Coast, Cape Coast, Ghana
A R T I C L E
I N F O
Keywords:
Green supply chain management practices
Eco innovative practices
End‐of‐Life Practices
Internal Environmental Management
Strategic Supplier Partnership
Sustainable performance
A B S T R A C T
The negative impact of mining activities on mining communities has received increased calls for mining firms
to engage in management practices that are deemed to be environmentally friendly. Using the ecological modernisation theory, the study sought to examine which of the environmentally accepted supply chain management practices should be encouraged to ensure that mining firms are able to sustain their performance
economically, socially and environmentally. The current study, therefore, used the explanatory study design
to gather primary data from 200 respondents. Data were analysed by means of PLS‐SEM to model the relationship between green supply chain management practices and sustainable performance. The findings of the study
indicated that all the four constructs of sustainable supply chain management practices predict the sustainable
performance of mining firms. The study, therefore, recommends the adoption of green supply chain management practices by mining firms in order to sustain their performance. Details of the findings are discussed.
1. Introduction
The mining sector of Ghana continues to make significant contributions to the economy in numerous ways. The sector according to
Emmanuel et al. (2018) makes significant contributions to government
tax earnings and GDP. These significant contributions of the extractive
sector to the Ghanaian economy are a result of the stable multi‐party
democracy the country has been enjoying since the return of democracy in 1992 (Adu‐Baffour et al., 2021). The sector employs about
28,000 and 1000,000 people in large‐ and small‐scale mining respectively (Barenblitt et al., 2021). Despite these significant contributions,
the mining sector is bedevilled with several challenges that threaten
the sustainability of the sector (Kumi et al., 2020).
The mining firms engage in many activities such as surface mining,
digging deep pits, the use of mercury and other waste minerals in
washing the minerals have threatened the sustainability of the environment (Kpienbaareh et al., 2020). For example, a study in five
selected mining communities in the Obuasi Municipality of Sanso,
Anyinam, Anyinamadokrom, Abomba, and Tutuka found many
health‐related issues suffered by these residents as a result of the mining activities. Mining pits left unattended to breed mosquitoes and
spread other skin‐related diseases, diarrhoea from polluted drinking
water of residents resulting from mining activities (Osei et al., 2021).
The dust that emanates from these mining activities has also contributed to increasing records of colds and catarrh among residents
of these mining communities (Gyamfi et al., 2021). The Ghana living
standard report (2017) reported that most river bodies in the Obuasi
Municipality have all been affected due to unsustainable mining practices. In 2017, the World Health Organization reported that during the
extraction and amalgamation process of mining firms, mercury and
other waste materials are washed into rivers and their tributaries
(Wassa Amenfi East District Assembly, 2018). These communities used
this as their primary source of drinking water thereby resulting in
health challenges (Wireko‐Gyebi et al., 2020).
These sustainability issues also threaten the continued existence of
these mining firms (Antwi‐Boateng & Akudugu, 2020). In the long run,
it is likely to affect their profitability (Bansah et al., 2018). Once profitability is affected, the sustainability of such firms is also threatened
(Abdulai, 2017). Likewise, when mining activities affect the health
of the mining communities, the quality and strength of their human
resources are also likely to be affected resulting in compensations, sick
leaves, and high turnover (Kansake et al., 2019). There is, therefore,
the need for mining firms to consider sustainability issues serious
and attach the needed importance to them (Osei et al., 2021).
Mining firms need to survey their production processes as well as
supply chains from time to time, to be sustainable because of the pres-
⇑ Corresponding author.
E-mail addresses: [email protected] (B. Ofori Antwi), [email protected] (D. Agyapong), [email protected] (D. Owusu).
https://doi.org/10.1016/j.clscn.2022.100046
Received 19 June 2021; Revised 22 February 2022; Accepted 6 April 2022
2772-3909/© 2022 The Authors. Published by Elsevier Ltd.
This is an open access article under the CC BY-NC-ND license (http://creativecommons.org/licenses/by-nc-nd/4.0/).
B. Ofori Antwi et al.
Cleaner Logistics and Supply Chain 4 (2022) 100046
to Hobson and Lynch (2018), firms that incorporate ecological modernisation into their supply chain activities are conscious of whom to
partner as a supplier for their inputs. They ensure that such a supplier
is also environmentally friendly and this cumulatively contributes to
environmental performance. Society is thus protected, contributing
to social performance. Such firms tend to be eco‐innovative by employing environmentally friendly machines, emphasizing the use of reverse
logistics as they seek not to release harmful waste into the environment but strive to seek alternative use of such outputs.
Fernando and Wah (2017) posit that when firms engage in such
activities as part of their supply chain, the benefits are multifaceted
affecting their economic, social as well as environmental well‐being.
On the contrary, the failure of firms to incorporate such practices into
their supply chain activities turn to cause harm to society by releasing
hazardous substances into the environment, huge sums of monies are
spent to clear such substances from the environment which could have
been used to undertake other projects that would have benefited the
society at large. Economically, such firms are made to pay huge fines
which affect their sustainability economically, socially and environmentally (Dauda, 2019; Bergendahl, Sarkis, and Timko, 2018;
Ewing, 2017).
sure from the government and the community in which they operate
(Heinemann et al., 2018; Kusi‐Sarpong et al., 2016). In addition, pressure groups such as some non‐governmental organizations, are attracting global thoughtfulness regarding environmental occurrences in
several places of local community’s and even shut down mines
(Heinemann et al., 2018).
The Ghana Revenue Authority in 2019 reported a decline in mining
revenue in 2017–2018. The decline in revenue was attributed to the
inability of the management of mining firms to incorporate sustainable
supply chain practices. Although studies have reported that mining, in
general, is unsustainable in the long, (Raut et al., 2019; Silva et al.,
2019; Çankaya and Sezen, 2019; Rashid et al., 2019), on the contrary,
it has also been suggested that when mining firms incorporate green
supply chain practices in their mining activities, they are likely to
experience sustainable performance. The study, therefore, looks at
the applicability of this assertion to mining firms in Ghana. The study
also seeks to look at the predictability of green supply chain practices
on the sustainable performance of mining firms in Ghana. As suggested
in the study of Kusi‐Sarpong et al. (2016) more empirical studies
should be conducted in the area of green supply chain practices of mining firms to confirm its effect on sustainable performance. Further, not
all the six green supply chain practices used in the analysis of Kusi‐
Sarpong et al. (2016) are still applicable to the mining sector. For
example, most of the mining firms have outsourced some of their
non‐core activities to specialist organisations. Tarkwa Goldmine
announced reported in 2018 that it had outsourced mining and maintenance of its mining equipment to specialist companies (Goldfields
Integrated Annual Report, 2018). This study thus contributes to providing such empirical knowledge. The findings of the study will provide managers of mining firms insight on the sustainable practices to
focus on to record sustainable performance in the sector. Further, contributes to the debate on the applicability of sustainable practices on
the performance of mining companies in Ghana. Findings will also
contribute to policy on which of the green supply chain practices mining firms should be encouraged to practice to enhance their sustainable performance.
2.2. Hypothesis development
Bansah et al. (2017) posited that when miners engage in activities
that are not environmentally friendly, it is difficult if not impossible to
sustain immediate gains made through such activities. Though mining
has been considered to contribute significantly to economic growth
through exports of the minerals mined (Emmanuel et al., 2018), the
increasingly negative impact of mining activities on communities
and ecological developments in Ghana also makes it imperative for
mining firms to consider using practices that are considered to be environmentally friendly. Studies have identified some supply chain management practices that are considered green. For example, Kusi‐
Sarpong et al. (2016) indicate that practices such as green information
technology and systems, strategic supplier partnership, operations and
logistics integration, internal environmental management, eco‐
innovative practices, and end‐of‐life practices are considered green.
Studies have also established that when mining firms engage in practices such as those posited in the study of Kusi‐Sarpong et al. (2016)
performance can be sustained economically, socially, and environmentally. The focus of this paper is on green supply chain management
practices because when mining firms foster strategic partnerships with
suppliers, engage in end‐of‐life practices, practice environmental management, and are eco‐innovative, their activities are likely to impact
positively economically, socially, and environmentally.
It is, therefore, posited that sustainable performance which comprises economic, social, and environmental can be achieved by mining
firms when they engage in supply chain management practices like
end‐of‐life practices, eco‐innovative practices, strategic supplier partnership, and internal environment management that are considered
green. Though studies have reported in their findings on the influence
of green supply chain management practices on sustainable performance, (Kusi‐Sarpong et al., 2016; Eton et al., 2019; Owusu et al.,
2021) the current study goes further to determine which of the specific
green supply chain management practices should be encouraged for
mining firms to sustain their performance economically, socially and
environmentally. Drawing on the ecological modernization theory
(Huber, 1982), it is anticipated that when firms institutionalize practices that are considered environmentally friendly in their supply
chain management activities, the performance of such firms can be
sustained over time. It is expected in the study that the adaption of
strategic supply partnerships, the use of reverse logistics, internal environmental management, and eco‐innovative practices by firms will
influence the sustainable performance of mining firms in Ghana,
because the mining firms are aimed at sustaining their performance
2. Theoretical review
2.1. Ecological modernization theory
The ecological modernization theory is premised on the idea that
firms must take coordinated efforts to reform their business practices
to ensure the preservation and protection of the environment (Massa
and Andersen, 2000). The theory postulates that firms are required
to incorporate environmental reforms as part of their operations
(Frijns et al., 2000). It has been suggested that when firms incorporate
environmental concerns into their supply chain activities, it offers
them several opportunities that contribute towards the economic,
social and environmental development of the countries in which they
are operating. The theory was developed as part of the industrialisation of Western Europe. However, Rinkevicius (2000) is of the view
that the theory is also appropriate to countries that are in a transition
to industrialise and this makes the use of the theory for this study well‐
grounded considering Ghana as a country that is in transition to industrialize. The theory indicates that firms must take pragmatic steps to
reduce pollution.
This the theory believes can be achieved only when firms use
machinery and introduce ecological concerns as part of the efforts in
acquiring, transforming and getting their output to their customers
and users. This according to Massa and Andersen (2000) will ensure
the preservation of the environment and thus contribute to environmental performance. This means that firms that can preserve the environment can avoid costly fines and contributes to societal wellbeing
thereby solidifying their gains socially and economically. According
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Cleaner Logistics and Supply Chain 4 (2022) 100046
B. Ofori Antwi et al.
mance. Subsequently, Kusi‐Sarpong et al. (2016) modified the green
supply chain management practices and came out with variables such
as green information technology and systems, strategic supplier partnership, operations and logistics, internal environmental management,
eco‐innovative practices and end‐of‐life practices.
However, not all the practices identified in the previous studies are
applicable to the mining sector, hence the modification. The model
indicates that as firms engage in practices such as engaging strategic
supplier partners, reverse logistics, internal environmental management, and practice eco‐innovativeness, it will translate into economic,
social, and environmental performance. Thus, the current study, therefore, indicates that practices such as strategic supplier partnerships,
end‐of‐life practices, internal environmental management, and eco‐
innovative practices constitute green supply chain practices. Sustainable performance constitutes economic, social, and environmental
performance.
and the only way to achieve that is by improving the economic wellbeing of Ghanaians, economically, socially and environmentally.
Empirically, Kusi‐Sarpong et al. (2016) reported that firms that
establish strategic partnerships with their suppliers can sustain their
performance over time. Similar findings were also reported in the studies of Roychowdhury et al. (2019); Bansah et al. (2018). It was also
reported in the study of Dong et al. (2020) and Jermsittiparsert
et al. (2019) that reverse logistics activities of firms have the potency
to enhance their sustainable performance. Similar findings were also
reported in the study of Le (2020). Shahid et al. (2020) also reported
that firms that practice environmental management are likely to sustain their performance economically, socially, and environmentally.
Owusu et al. (2021) also reported similar findings on the connection
between environmental management and sustainable performance.
Nonetheless, Cousins et al. (2019); De Nadae et al. (2019) in their
study could not establish any association between eco‐innovative practices and sustainable performance. Quite the reverse was reported in
the study of Farjana et al. (2019) that eco‐innovative practices rather
influence the sustainable performance of firms who engage in it. Analyses of these findings indicate that when firms engage in practices that
are considered green, it leads to a certain outcome. This study further
indicates that engaging in practices that are considered green should
lead to favourable outcomes in social, economic and environmental.
It is based on these findings that the current makes the following
assumptions:
4. Methodology
4.1. Research design
The investigation employed the explanatory study design to be able
to explain the nature of the connection between green supply chain
management practices and sustainable performance (Zikmund et al.,
2013). This, therefore, informed the choice of the study design used
for the investigation.
H1: strategic supply partnership positively influences economic,
social and environmental performance.
H2: end‐of‐life practices positively influence economic, social and
environmental.
performance.
H3: environmental management positively influence economic,
social and environmental performance.
H4: eco‐innovative practices positively influence economic, social
and environmental performance.
4.2. Participants and procedures
Before undertaking the main data collection, a pre‐test of the
instrument for data collection was carried out in Accra to test the reliability of the instruments. The pretest gathered data from the corporate offices of some of the mining firms. This ensured that the
instrument was sufficiently understood by the respondents (Baxter &
Babbie, 2003). In all, 30 respondents from mining firms with corporate
offices in Accra were involved in the pretest. This helped in rephrasing
some of the questions and those that recorded low Cronbach alpha figures were also deleted. For example, “my firm collaborates with suppliers to manage reverse flows of materials and packaging” which
was part of the items measuring strategic supplier partnership was
taken out.
The study avoided bias through the use of common method bias.
This was measured using Collinearity Statistics (VIF ≤ 5). Since reflective models are susceptible to biases and mistakes (Afum et al., 2020),
3. Research model
Fig. 1 illustrates the model used for this study. The model was
developed from the literature review. Green et al. (2012) developed
a similar model of green supply chain management practices on performance and came out with variables such as internal environmental
management, green information system, green purchasing, cooperation with customers, eco‐design, investment recovery, environmental
performance, operational performance and organisational perfor-
Fig. 1. Conceptual Framework. Source: Authors Construct, (2020).
3
B. Ofori Antwi et al.
Cleaner Logistics and Supply Chain 4 (2022) 100046
always switches from ”dirty“ to cleaner technologies”. Constructs used
to measure green supply chain practices recorded a Cronbach alpha of
0.781, 0.892, 0.724, and 0.709 for strategic supplier partnership,
internal environmental management practices, end‐of‐life practices,
and eco‐innovative practices respectively.
For sustainable performance, the dependant variable, the triple bottom measurement of sustainable performance was used. The triple bottom measures performance using social, economic, and
environmental. Likert‐scale items developed by Das (2018); Laari
et al. (2016); Mutingi et al. (2014); Quori, Mujkic, Gashi, and Kraslawski (2018) was used to measure the three areas of sustainable performance. In all, 10 questions were asked to assess sustainable
performance. Out of the ten questions, four assessed environmental
performance, two assessed economic performance, and four also
assessed social performance. Examples of items used included “my
firm has decreased cost for material”, for economic performance;
“my firm has approved investments in social projects” for social performance, and “my firm has reduced air emissions” for environmental
performance.
it was important to analyze the collinearity statistics test and report
the same statistics on collinearity (Hair et al., 2012). Generally, it is
acknowledged that when collinearity statistics are above 3.3 thresholds, it generally implies the model is prone to be affected by common
method bias. On the other hand, when the VIF is less than 3.3, such
reflective models are deemed to be without common method bias
(Afum et al., 2020).
However, Kock (2015) further argued that VIF needs to have a
score of 5 or lower to keep away from multicollinearity problems
(Kock & Lynn, 2012; Hair et al., 2012) in circumstances where calculations consolidate estimation mistake, especially for factor‐based PLS‐
SEM algorithms. The study was conducted in Ghana. Data for the study
were collected from three regions that are noted for mining. Specifically, data was collected from the Western, Western North, and
Ashanti regions. Mining firms were appropriate for this study because
their activities destroy the environment a lot as a result leading to the
ban on their operations. Also, the population was readily accessible.
The study targeted 413 mining firms in Ghana. The sample frame
was grouped into registered (1 0 8) and unregistered (3 0 5) mining
firms in Ghana. It was further grouped into different forms of mining
firms which are the large‐scale mining firms, medium‐scale mining
firms, and small‐scale mining firms. The study targeted top‐level management employees of the mining firms who were considered appropriate because of the position they occupied and their level of
involvement in supply chain management activities.
A sample of 102 mining firms was selected for the study. These
mining firms were grouped into large‐scale mining firms (60),
medium‐scale mining firms (30), and small‐scale mining firms (12).
The sample size comprised of a top‐level manager from the level of
general manager to the Chief executive officer and an employee
engaged in mining activity or is directly linked to the implementation
of mining policies from the 102 mining firms sampled for the study.
Therefore, 204 respondents from these mining firms were randomly
selected for the study and the questionnaire was distributed to them.
Out of the total issued questionnaires, 200 were returned representing
a response rate of 98%. The use of the simple random sampling technique gave all members of the sampling frame an equal chance of
being selected (Zikmund et al., 2013). Additionally, considering the
predictive nature of the study, the use of the simple random makes
it a pre‐imperative for predictive studies (Creswell & Clark, 2017;
Creswell, 2014).
4.4. Data analysis
The analyses of data collected for the study were undertaken in
three phases. Primarily, responses received were analyzed and uncompleted questionnaires were taken out if found not to have addressed
the issues the study sought to analyze. Next, the questionnaires were
coded and entered into an SPSS software to examine missing values.
PLS‐SEM was then used to model the proposed hypotheses. PLS‐SEM
was used because of its ability to handle a multiplicity of models
and its predictive power (Peng and Lai, 2012). The use of PLS‐SEM
was also further influenced by the explanatory study design used for
the study. Since the study sought to explain and not only describe,
the use of PLS‐SEM was more appropriate because of its ability to handle reflective and formative models (Hair et al., 2010).
5. Findings
A model was developed to examine the hypotheses formulated. The
model considered the four constructs of green supply chain practices
as antecedents to sustainable performance. The model's quality was
assessed using the quality criteria prescribed for reflective models.
The Cronbach alpha, discriminant validity, average variance extracted
(AVE), and the factor loadings for each of the constructs were assessed.
Details of the quality assessment of the model are presented in Fig. 1
and Tables 1‐2.
Table 1 presents the results of the quality criteria used in assessing
the model. Cronbach alpha figures indicated that of all the variables
under consideration, eco‐innovative and end of life practices recorded
figures below 0.7 but were within the threshold of 0.642 and 0.684
respectively. The reliability of the constructs was, therefore, adjudged
to be highly reliable as recommended by Pallant (2001) who indicated
that reliability values above 0.6 are considered highly reliable and
acceptable. Composite reliability for all the constructs was above
0.7. The average Variance Extracted for all constructs was also above
0.5. The quality assessment indicated that the model was deemed
appropriate for the study. Next, the discriminant validity of the variables was also assessed. Results are presented in Table 2.
Table 2 presents the discriminant validity using the Fomell‐Larcker
Criterion. The results specified the existence of discriminant validity
between all the constructs. The quality criteria and discriminant validity results asserted that the model was appropriate for the analysis.
Fig. 2 presents the structural model developed to predict the effect
of green supply chain practices of mining firms on sustainable performance. As presented in Fig. 2, numbers within the circle explained
how much variance of economic, environmental, and social perfor-
4.3. Measures
Sustainable supply chain management practices were measured
using four constructs; strategic supply partnerships, internal environmental management, eco‐innovative practices, and end‐of‐life practices (Kusi‐Sarpong et al., 2016). These four constructs were used
because they were found to be most applicable to the mining sector.
In all, five Likert‐scale items were used to measure all the four constructs with response options where 1 represents (not at all) and 5
(to a very great extent). Five items were used to measure strategic supplier partnerships (Chou et al., 2012, Setterstrom, 2008; Sarkis et al.,
2011; Uddin & Rahman, 2012). An example of the item used is “my
firm monitors environmental compliance status and practices of supplier’s operations”. Eight items were used to measure internal environmental management practices (Vachon & Klassen, 2008; Azevedo
et al., 2012; Simpson et al., 2019; Vachon and Klassen, 2006; Baram
& Partan, 1990). An example of the item used is “my firm ensures audit
and environmental assessment programs according to regulations”.
End‐of‐Life practices were also measured using four items developed
from the works of Stock (2001); Sarkis (2003); Bell et al. (2013). An
example of the item used was “my firm ensures mining of tailings”.
Eco‐innovative practices were also measured using three items developed from Carter and Easton (2011); Azevedo et al., (2012); Paulraj
(2009); Rao & Holt (2005). An example of the item used was “my firm
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Cleaner Logistics and Supply Chain 4 (2022) 100046
B. Ofori Antwi et al.
Table 1
Quality Criteria.
Constructs
Cronbach's Alpha
rho_A
Composite Reliability
Average Variance Extracted (AVE)
Eco-Innovative Practices
Economic Performance
End of Life Practices
Environmental Performance
Internal Environmental Management
Social Performance
Strategic Supplier Partnership
0.642
0.727
0.684
0.848
0.798
0.868
0.749
0.651
0.733
0.753
0.863
0.808
0.870
0.641
0.847
0.879
0.859
0.908
0.881
0.919
0.832
0.735
0.785
0.754
0.767
0.711
0.792
0.624
R2
Adjusted R2
0.690
0.684
0.726
0.720
0.599
0.591
Source: Field survey (2020).
Table 2
Discriminant validity (Fomell-Larcker Criterion).
Constructs
Eco-Innovative Practices
Economic Performance
End of Life Practices
Environmental
Performance
Internal Environmental
Management
Social Performance
Strategic Supplier
Partnership
Eco-Innovative
Practices
Economic
Performance
End of Life
Practices
Environmental
Performance
Internal Environmental
Management
0.858
0.735
0.704
0.752
0.886
0.780
0.795
0.868
0.732
0.876
0.734
0.666
0.729
0.804
0.843
0.645
−0.013
0.591
0.219
0.675
0.223
0.820
0.174
0.736
0.154
Social
Performance
Strategic Supplier
Partnership
0.890
0.216
0.790
Source: Field survey, (2020).
mance is explained by the four green supply chain practices. The findings as presented in Fig. 2 indicated that the predictors explained
68.4%, 72%, and 59.1% of economic, environmental, and social performance respectively. Further, the weight of each path coefficient
was also assessed. Based on the findings as presented in Fig. 2, internal
environmental management recorded the highest path loadings of
0.435 and 0.437 for environmental performance and social performance respectively. On the contrary, end‐of‐life practices recorded
the highest path loading for economic performance (0.457). eco‐
innovative practices recorded the second‐highest path loading of
0.303 and 0.398 for environmental performance and economic performance respectively. To check the significance of the path loadings,
bootstrapping was run. Findings are presented in Table 3.
Table 3 presents the bootstrapping results. Results indicate that
eco‐innovative practice significantly predicts the economic, environmental, and social performance of mining firms in Ghana (0.000,
0.000, and 0.012 respectively) which affirms H4. End‐of‐life practices
also recorded a significant effect on economic, environmental, and
social performance which also confirms H2. However, internal environmental management practices recorded a significant effect on environmental and social performance. It, however, was not significant in
predicting economic performance. H3 cannot, therefore, be accepted as
a whole. Similarly, strategic supplier partnership was significant in
predicting economic and social performance but was not significant
in predicting environmental performance. H1 cannot be accepted as
a whole. To affirm the significance of the predictive effect of green
supply chain practices on sustainable performance, the effect size, as
well as the predictive relevance of the model, was ascertained.
The effect size as shown in Table 4 indicates that eco‐innovative
practices record medium effect size for economic and environmental
performance (0.190 and 0.124) and a weak effect size for social performance (0.030) End‐of‐life practices also recorded a medium effect size
of 0.257 for economic performance and weak effect size for environmental and social performance (0.048 and 0.041) in predicting economic performance. Internal environmental management recorded a
medium effect size for environmental and social performance (0.253
and 0.175). Strategic supplier partnership also recorded weak effect
sizes for all three sustainable performance indicators (0.040, 0.016,
and 0.024). This goes to confirm that strategic supplier partnership
as a green supply chain practice is not a predictor of all three measures
of sustainable performance as it recorded weak effect sizes in all three.
6. Discussion
This study provided empirical evidence on which of the green supply chain practices can influence the three sustainable performance
indicators. With pressure mounting on mining firms by the government and the local communities, the study was able to address which
of the green supply chain practices influenced the sustainable performance of mining firms. Analysis of the study shows that when mining
firms engage in eco‐innovative practices such as using environmentally friendly inputs, undertaking internal recycling of inputs, and
are efficient with the quantities of input used, it is likely to record significant increases in social, economic, and environmental performance. This confirms the findings in the study of Bansah et al.
(2017) that when activities of mining firms are environmentally
friendly, they can sustain gains made. In this regard, mining firms
can make significant contributions to the economy thereby reducing
pressures mounted on them by community members and governments.
For the use of end‐of‐life practices also referred to as reverse logistics, if mining firms can restore water bodies to their pre‐mining state,
it is likely to contribute to all three measures of sustainable performance. This, therefore, goes to confirm government resolve to ensure
that mining activities that destroy water bodies are stopped as most of
the mining firms are unable to restore the state of the water bodies
after their mining activities. Destruction of water bodies as a result
of mining activities can thus be reduced if these firms can inculcate
reverse logistics into their operations. These findings, therefore, corroborate the assertions made by Kusi‐Sarpong et al. (2016) that when
mining activities are considered green, they can record economic,
social, and environmental performance.
However, the findings of the study also show that though internal
environmental management practices of mining firms contribute to
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B. Ofori Antwi et al.
Cleaner Logistics and Supply Chain 4 (2022) 100046
Fig. 2. Structural model. Source: Field survey (2020).
Table 3
Path Coefficient.
Constructs
Original Sample
(O)
Sample Mean
(M)
Standard Deviation
(STDEV)
T Statistics (|O/
STDEV|)
P
Values
Eco-Innovative Practices -> Economic Performance
Eco-Innovative Practices -> Environmental Performance
Eco-Innovative Practices -> Social Performance
End of Life Practices -> Economic Performance
End of Life Practices -> Environmental Performance
End of Life Practices -> Social Performance
Internal Environmental Management -> Economic Performance
Internal Environmental Management -> Environmental
Performance
Internal Environmental Management -> Social Performance
Strategic Supplier Partnership -> Economic Performance
Strategic Supplier Partnership -> Environmental Performance
\Strategic Supplier Partnership -> Social Performance
0.398
0.303
0.180
0.457
0.186
0.207
0.023
0.435
0.392
0.304
0.185
0.460
0.181
0.205
0.024
0.439
0.073
0.063
0.071
0.063
0.059
0.070
0.057
0.062
5.446
4.822
2.536
7.218
3.160
2.968
0.399
6.996
0.000
0.000
0.012
0.000
0.002
0.003
0.690
0.000
0.437
0.119
0.070
0.105
0.433
0.119
0.074
0.110
0.078
0.052
0.057
0.052
5.624
2.267
1.224
2.031
0.000
0.024
0.221
0.043
Source: Field survey, (2020).
This finding, therefore, contradicts the assertion by Owusu et al.
(2019) that environmental management practice leads to economic,
social, and environmental performance.
Concerning the use of strategic supplier partnerships, the study
findings indicated that of all the three measures of sustainable performance, economic and social performance reacts positively when mining firms engage in such a practice. However, the same cannot be
reported on the effect of strategic supplier partnership on environmen-
achieving environmental and social performance, the same could not
be reported on economic performance. This means that economic performance suffers when mining firms promote internal environmental
management thus reducing the profit of mining firms. However, such
firms can meet their social and environmental targets. Though, such
achievement does not contribute directly to profit, it rather seeks to
enhance the corporate image of such firms and thereby reduce the
likely attack that local community members may mount on such firms.
6
Cleaner Logistics and Supply Chain 4 (2022) 100046
B. Ofori Antwi et al.
Table 4
Effect size (f2).
Constructs
Eco-Innovative Practices
End of Life Practices
Internal Environmental
Management
Strategic Supplier
Partnership
mental management practices. This will ensure that all aspects of sustainable performance are addressed in the long run.
Economic
Performance
Environmental
Performance
Social
Performance
0.190
0.257
0.001
0.124
0.048
0.253
0.030
0.041
0.175
0.040
0.016
0.024
7.3. Implications for future studies
Future studies could focus on introducing a third variable which is
the presence of institutional pressure to find out whether mining firms
on their own practice green supplier chain or are forced to do so.
8. Conclusions
Source: Field survey (2020).
This study sought to address the concern of green supply chain
practice can achieve either sustainable performance in whole or in
part. The study thus confirmed that when firms practice eco‐
innovative and end‐of‐life, they can achieve sustainable performance
as a whole. However, environmental and social performance is
achieved only when firms engage in internal environmental management. Likewise, firms can achieve economic and social performance
when they forge strategic partnerships with their suppliers. The findings, therefore, add to the existing literature on the predictive importance of practising a green supply chain on sustainable performance.
Since the study focused on only four green supply chain practices,
future studies could also focus on how the presence of institutions
either motivates or discourages mining firms from practising green
supply chain.
tal performance. This means that when businesses forge partnerships
with their suppliers, their motive is more on their economic and social
gain. In Ghana, there is a general understanding that mining firms generate enough money and that firms in that sector are rich. When they
forge partnerships, the partners are interested in how they can also
make good fortunes and this explains why they can record good
returns economically and socially but the same cannot be said about
their environmental performance.
7. Theoretical implications and recommendations
The current study provides greater insights into which of the green
supply chain practices can enhance the sustainable performance of
mining firms. The study confirms existing knowledge on the effect of
green supply chain practices on sustainable performance and also contributes to the empirical knowledge on the association between green
supply chain practices and sustainable performance. As suggested in
the study of Kusi et al. (2014), more research should be conducted
in the area of green supply chain practices in the mining industry.
The study thus contributes to this in that regard. It further highlights
which of the green supply chain practices contributes specifically to
the three measures of sustainable performance. The study findings
contribute to existing knowledge and indicate that eco‐innovative
practice, end‐of‐life practices can explain all three measures of sustainable performance. However, internal environmental management
practice contributes to environmental and social performance and
not economic performance. On the other hand, the use of strategic supplier partnerships contributes to economic and social performance and
not environmental performance.
Declaration of Competing Interest
The authors declare that they have no known competing financial
interests or personal relationships that could have appeared to influence the work reported in this paper.
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Mining firms seeking to promote all three measures of sustainable
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