Skip to main content
SpringerLink
Log in

Adoption, Implementation, and Performance of Green Supply Chain Management: The Case of Coal Power Generation Industry in Indonesia

  • Chapter
  • First Online:
Book cover Sustainable Interdependent Networks II

Part of the book series: Studies in Systems, Decision and Control ((SSDC,volume 186))

  • 885 Accesses

Abstract

Environmental issues like water, energy, and waste are necessitated organizations to understand that they are part of a more extensive system and their system needs to be radically transformed to respect to the society and guarantee the future of their business. More meticulously, the environmental issues would shape the future of the business. Therefore, to confront these issues practically, organizations need to be innovative and have the vision to redesign products, processes, and business models to reserve their seat for the future. This perspective is called sustainability. With the sustainability point of view, organizations have to have an understanding of their membership as a human community first, and a machine for making money second. However, there are several interpretations of sustainable business which translate it into the profitable business.

Among all components of an organization, supply chains (SCs) are critical links that connect an organization’s inputs to its outputs. Therefore, a sustainable SC can create opportunities and offers significant competitive advantages for early adoption of environmental changes and mandatory innovation. Consequently, a green SC management (GSCM) can lead to the profitability after adoption. With regard to the critical role of GSCM in the lifetime of any organization, this study aims to explore the key factors of GSCM, influencing the adoption, implementation, and performance of GSCM considering interdependency within an organization. Indonesia coal power generation as one of the world’s largest coal producers is selected as a case study.

This is a preview of subscription content, log in via an institution to check access.

Access this chapter

Log in via an institution
Chapter
USD 29.95
Price excludes VAT (USA)
  • Available as PDF
  • Read on any device
  • Instant download
  • Own it forever
eBook
USD 84.99
Price excludes VAT (USA)
  • Available as EPUB and PDF
  • Read on any device
  • Instant download
  • Own it forever
Hardcover Book
USD 109.99
Price excludes VAT (USA)
  • Durable hardcover edition
  • Dispatched in 3 to 5 business days
  • Free shipping worldwide - see info

Tax calculation will be finalised at checkout

Purchases are for personal use only

Institutional subscriptions

References

  1. Bayazit, O., & Karpak, B. (2007). An analytical network process-based framework for successful total quality management (TQM): An assessment of Turkish manufacturing industry readiness. International Journal of Production Economics, 105(1), 79–96.

    Article  Google Scholar 

  2. Biswal, J. N., Muduli, K., & Satapathy, S. (2017). Critical analysis of drivers and barriers of sustainable supply chain management in Indian thermal sector. International Journal of Procurement Management, 10(4), 411–430.

    Article  Google Scholar 

  3. Bowen, F. E., Cousins, P. D., Lamming, R. C., & Farukt, A. C. (2001). The role of supply management capabilities in green supply. Production and operations management, 10(2), 174–189.

    Article  Google Scholar 

  4. Brundtland, G., Khalid, M., Agnelli, S., Al-Athel, S., Chidzero, B., Fadika, L., et al. (1987). Our common future (∖’brundtland report∖’).

    Google Scholar 

  5. Carroll, A. B. (2016). Carrolls pyramid of CSR: Taking another look. International Journal of Corporate Social Responsibility, 1(1), 3.

    Article  MathSciNet  Google Scholar 

  6. Carter, C. R., & Rogers, D. S. (2008). A framework of sustainable supply chain management: Moving toward new theory. International Journal of Physical Distribution & Logistics Management, 38(5), 360–387.

    Article  Google Scholar 

  7. Chiu, W. Y., Tzeng, G. H., & Li, H. L. (2013). A new hybrid MCDM model combining DANP with VIKOR to improve e-store business. Knowledge-Based Systems, 37, 48–61.

    Article  Google Scholar 

  8. Department of the Environment, Heritage and Local Government (2007). National climate change strategy, 2007–2012. Ireland. Website: https://www.teagasc.ie/media/website/crops/crops/NationalClimateChangeStrategy2007_2012.pdf.

  9. Elkington, J. (2013). Enter the triple bottom line. In The triple bottom line (pp. 23–38). London: Routledge.

    Google Scholar 

  10. Fang, C., & Zhang, J. (2018). Performance of green supply chain management: A systematic review and meta analysis. Journal of Cleaner Production, 183, 1064–1081.

    Article  Google Scholar 

  11. Firoz, F., Biswal, J. N., & Satapathy, S. (2018). Supplier selection criteria for sustainable supply chain management in thermal power plant. In IOP Conference Series: Materials Science and Engineering (Vol. 310, p. 012016). Bristol: IOP Publishing.

    Google Scholar 

  12. Guinée, J. B. (2002). Handbook on life cycle assessment operational guide to the ISO standards. The International Journal of Life Cycle Assessment, 7(5), 311.

    Article  Google Scholar 

  13. Handfield, R., Walton, S. V., Sroufe, R., & Melnyk, S. A. (2002). Applying environmental criteria to supplier assessment: A study in the application of the analytical hierarchy process. European Journal of Operational Research, 141(1), 70–87.

    Article  Google Scholar 

  14. Hassini, E., Surti, C., & Searcy, C. (2012). A literature review and a case study of sustainable supply chains with a focus on metrics. International Journal of Production Economics, 140(1), 69–82.

    Article  Google Scholar 

  15. Hsu, C. W., & Hu, A. H. (2009). Applying hazardous substance management to supplier selection using analytic network process. Journal of Cleaner Production, 17(2), 255–264.

    Article  Google Scholar 

  16. Hsu, C. W., Kuo, T. C., Chen, S. H., & Hu, A. H. (2013). Using DEMATEL to develop a carbon management model of supplier selection in green supply chain management. Journal of Cleaner Production, 56, 164–172.

    Article  Google Scholar 

  17. Jeng, D. J. F., & Tzeng, G. H. (2012). Social influence on the use of clinical decision support systems: Revisiting the unified theory of acceptance and use of technology by the fuzzy DEMATEL technique. Computers & Industrial Engineering, 62(3), 819–828.

    Article  Google Scholar 

  18. Lucarelli, B. (2010). The history and future of Indonesias coal industry: Impact of politics and regulatory framework on industry structure and performance. In Program on Energy and Sustainable Development. Freeman Spogli Institute for International Studies, Stanford University, Stanford. Retrieved May 10, 2011.

    Google Scholar 

  19. Nagurney, A., Dong, J., & Zhang, D. (2002). A supply chain network equilibrium model. Transportation Research Part E: Logistics and Transportation Review, 38(5), 281–303.

    Article  Google Scholar 

  20. Pohekar, S., & Ramachandran, M. (2004). Application of multi-criteria decision making to sustainable energy planning—A review. Renewable and Sustainable Energy Reviews, 8(4), 365–381.

    Article  Google Scholar 

  21. Savitz, A. (2013). The triple bottom line: How today’s best-run companies are achieving economic, social and environmental success-and how you can too. New York: Wiley.

    Google Scholar 

  22. Seuring, S. (2013). A review of modeling approaches for sustainable supply chain management. Decision Support Systems, 54(4), 1513–1520.

    Article  Google Scholar 

  23. Tate, W. L., Ellram, L. M., & Kirchoff, J. F. (2010). Corporate social responsibility reports: A thematic analysis related to supply chain management. Journal of Supply Chain Management, 46(1), 19–44.

    Article  Google Scholar 

  24. Wu, J. Z., Santoso, C. H., & Roan, J. (2017). Key factors for truly sustainable supply chain management: An investigation of the coal industry in Indonesia. The International Journal of Logistics Management, 28(4), 1196–1217.

    Article  Google Scholar 

  25. Zhang, M., Tse, Y. K., Doherty, B., Li, S., & Akhtar, P. (2018). Sustainable supply chain management: Confirmation of a higher-order model. Resources, Conservation and Recycling, 128, 206–221.

    Article  Google Scholar 

  26. Zhu, Q., & Sarkis, J. (2004). Relationships between operational practices and performance among early adopters of green supply chain management practices in Chinese manufacturing enterprises. Journal of Operations Management, 22(3), 265–289.

    Article  Google Scholar 

  27. Zhu, Q., Sarkis, J., & Lai, K. (2012). Green supply chain management innovation diffusion and its relationship to organizational improvement: An ecological modernization perspective. Journal of Engineering and Technology Management, 29(1), 168–185.

    Article  Google Scholar 

  28. Zhu, Q., Sarkis, J., & Lai, K. (2013). Institutional-based antecedents and performance outcomes of internal and external green supply chain management practices. Journal of Purchasing and Supply Management, 19(2), 106–117.

    Article  Google Scholar 

Download references

Author information

Authors and Affiliations

  1. Department of Business Administration, Soochow University, Taipei, Taiwan

    Caroline H. Santoso & Jei-Zheng Wu

  2. Industrial Engineering and Engineering Management, National Tsing Hua University, Hsinchu, Taiwan

    Marzieh Khakifirooz

  3. Industrial and System Engineering, University of Florida, Gainesville, FL, USA

    Mahdi Fathi

Authors
  1. Caroline H. Santoso
    View author publications

    You can also search for this author in PubMed Google Scholar

  2. Marzieh Khakifirooz
    View author publications

    You can also search for this author in PubMed Google Scholar

  3. Mahdi Fathi
    View author publications

    You can also search for this author in PubMed Google Scholar

  4. Jei-Zheng Wu
    View author publications

    You can also search for this author in PubMed Google Scholar

Corresponding author

Correspondence to Jei-Zheng Wu .

Editor information

Editors and Affiliations

  1. Department of Electrical and Computer Engineering, Carnegie Mellon University, Pittsburgh, PA, USA

    M. Hadi Amini

  2. School of Computing and Information Sciences, Florida International University, Miami, FL, USA

    Kianoosh G. Boroojeni

  3. School of Computing and Information Sciences, Florida International University, Miami, FL, USA

    S. S. Iyengar

  4. Department of Industrial & Systems Engineering, University of Florida, Gainesville, FL, USA

    Panos M. Pardalos

  5. Department of Energy Technology, Aalborg University, Aalborg, Denmark

    Frede Blaabjerg

  6. Department of Electrical & Computer Engineering, University of California Los Angeles, Los Angeles, CA, USA

    Asad M. Madni

Appendix

Appendix

Executive Summary

The chapter is divided into six sections (Fig. 13.4). The first section addresses the new and rapidly growing attention to the GSCM. Other topics include the history of sustainability intention; Definition of sustainability; International attention to sustainable manufacturing and services; Influential factors on a sustainable organization.

Fig. 13.4
figure 4

Overview flowchart of the chapter

Full size image

The second section reviews the background of GSCM. The adoption, implementation, and performance factors for GSCM are discussed with their related contents in this section.

The third section discussed the sustainability analysis and key factor screening. The discussed methods are including life-cycle assessment, equilibrium model, multi-criteria decision making, analytical hierarchy process, analytic network process, decision-making trial and evaluation laboratory, and influential network relations map.

The fourth part focuses on models and applications of proposed hybrid decision-making trial and evaluation laboratory (DEMATEL) and analytic network process (ANP) called DANP on coal power generation industry in Indonesia as the case study.

The fifth section reviews the development and future trend of GSCM for smart management such as implications for motivating supplier social and environmental responsibility.

Finally, in the last section from the gap in the literature, we propose some managerial suggestions, for who are interested in walking into the field of GSCM. The study will be concluded by providing recommendations for further research and align our mindset for the next step.

Rights and permissions

Reprints and permissions

Copyright information

© 2019 Springer Nature Switzerland AG

About this chapter

Check for updates. Verify currency and authenticity via CrossMark

Cite this chapter

Santoso, C.H., Khakifirooz, M., Fathi, M., Wu, JZ. (2019). Adoption, Implementation, and Performance of Green Supply Chain Management: The Case of Coal Power Generation Industry in Indonesia. In: Amini, M., Boroojeni, K., Iyengar, S., Pardalos, P., Blaabjerg, F., Madni, A. (eds) Sustainable Interdependent Networks II. Studies in Systems, Decision and Control, vol 186. Springer, Cham. https://doi.org/10.1007/978-3-319-98923-5_13

Download citation

  • DOI: https://doi.org/10.1007/978-3-319-98923-5_13

  • Published:

  • Publisher Name: Springer, Cham

  • Print ISBN: 978-3-319-98922-8

  • Online ISBN: 978-3-319-98923-5

  • eBook Packages: EngineeringEngineering (R0)

Publish with us

Policies and ethics

Search

Navigation