The Effect of Lean Practices on Organizational Sustainability Through Green Supply Chain Management as Intervening Variables (Study on the Palm Oil Industry in North Sumatra Province)
1Hidayatna Putri, 2Iskandar Muda, 3Muammar Khadafi
1,2,3Faculty of Economics and Business, University of Sumatra Utara
https://doi.org/10.47191/jefms/v5-i1-15ABSTRACT:
The purpose of this study was to determine and analyze the effect of kaizen and innovation management on Organizational Sustainability through Green Supply Chain Management in the Palm Oil Industry in North Sumatra Province. The independent variables in this study are kaizen and innovation management, the intervening variable in this study is Green Supply Chain Management, while the independent variable is organizational sustainability. The population in this study were 127 palm oil processing companies located in North Sumatra. Samples were selected using saturated samples. The data was processed using the SEM method with SmartPLS 3.0. The results of this study prove that the application of kaizen has no effect on organizational sustainability in oil palm processing companies in North Sumatra. Innovation management has a positive and significant effect on organizational sustainability, kaizen has a positive and significant effect on green supply chain management, innovation management has no effect on green supply chain management, green supply chain management has a positive and significant impact on organizational sustainability, green supply chain management mediates relations kaizen on organizational sustainability, while green supply chain management does not mediate the relationship between innovation management and organizational sustainability in palm oil processing companies in North Sumatra.
KEYWORDS:
Organizational Sustainability, Kaizen, Innovation Management, Green Supply Chain Management.
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