Green Supply Chain Model for Japanese Automotive Industry in Malaysia Using Level 2 SCOR

https://doi.org/10.56225/ijgoia.v3i3.436

Authors

  • Chang Min Hun Faculty of Technology Management and Business, Universiti Tun Hussein Onn Malaysia, 86400 Parit Raja, Johor, Malaysia
  • Abdul Talib Bon Faculty of Technology Management and Business, Universiti Tun Hussein Onn Malaysia, 86400 Parit Raja, Johor, Malaysia
  • Agus Sukoco Faculty of Economics and Business, Universitas Narotama, Surabaya, 60117 Jawa Timur, Indonesia

Keywords:

Green SCOR Model, Supply Chain Management, Operational Performance, Japanese Automotive Industry

Abstract

Environmental issues have become a significant concern for both the Malaysian government and the public. Environmental impacts arise at all stages of a product’s supply chain life cycle. This study aims to identify the relationship between the Green SCOR Model at Level 2 and operational performance. Specifically, it investigates whether the process categories within the Green SCOR Model affect operational performance. Twenty-six hypotheses were tested, focusing on the core processes of the Green SCOR Model: plan, source, make, deliver, and return. The study was conducted at Mitsubishi Motors Sdn Bhd, located in Shah Alam, Selangor. Probability sampling was employed, with simple random sampling used to select participants. Data were collected via a survey questionnaire administered at Mitsubishi Motors Sdn Bhd. The findings reveal that six processes within the Green SCOR Model have a significant relationship with operational performance: source make-to-order, enable source, make-to-stock, make-to-order, deliver stocked product, and deliver return MRO product. This study provides an overview of the current state of Mitsubishi Motors’ supply chain and offers managers a clear understanding of supply chain management in the Japanese automotive industry, enabling them to enhance both supply chain and operational performance.

Downloads

Download data is not yet available.

References

Amemba, C. S., Nyaboke, P. G., Osoro, A., & Mburu, N. (2013). Elements of Green Supply Chain Management. European Journal of Business and Management, 5(1), 51–61.

Bhateja, A. K., Babbar, R., Singh, S., & Sachdeva, A. (2011). Study of Green Supply Chain Management in the Indian Manufacturing Industries: A literature Review cum an Analytical Approach for the measurement of performance. IJCEM International Journal of Computational Engineering & Management, 13(1), 84–99.

Bloemhof-Ruwaard, J. M., van Beek, P., Hordijk, L., & Van Wassenhove, L. N. (1995). Interactions between operational research and environmental management. European Journal of Operational Research, 85(2), 229–243. https://doi.org/10.1016/0377-2217(94)00294-M

Carter, C. R., & Carter, J. R. (1998). Interorganizational Determinants of Environmental Purchasing: Initial Evidence from the Consumer Products Industries*. Decision Sciences, 29(3), 659–684. https://doi.org/10.1111/j.1540-5915.1998.tb01358.x

Choong, C., Chew, B., & Hamid, S. (2015). Green Supply Chain Management for Production: A Case Study in Sony (Malaysia) Sdn Bhd. Journal of Technology Management and Business, 2(1), 0–0.

Chou, M. (2009). Return Policies and Coordination of Supply Chain. In J. Ponce & A. Karahoca (Eds.), Supply Chain the Way to Flat Organisation (pp. 1–436).

DOE), D. . (2010). Number of water pollution sources by manufacturing industry. Department of Environment Annual Report.

Eltayeb, T. K., Zailani, S., & Ramayah, T. (2011). Green supply chain initiatives among certified companies in Malaysia and environmental sustainability: Investigating the outcomes. Resources, Conservation and Recycling, 55(5), 495–506. https://doi.org/10.1016/j.resconrec.2010.09.003

Green, K. W., Zelbst, P. J., Meacham, J., & Bhadauria, V. S. (2012). Green supply chain management practices: impact on performance. Supply Chain Management: An International Journal, 17(3), 290–305. https://doi.org/10.1108/13598541211227126

Habidin, N. F., Zubir, A. F. M., Fuzi, N. M., Latip, N. A. M., & Azman, M. N. A. (2015). Sustainable manufacturing practices in Malaysian automotive industry: confirmatory factor analysis. Journal of Global Entrepreneurship Research, 5(1), 1–14. https://doi.org/10.1186/s40497-015-0033-8

Hajikhani, M., Wahat, N. ., & IDRIS, K. B. (2012). Considering on Green Supply Chain Management Drivers, as a Strategic Organizational Development Approach, Malaysian perspective. Australian Journal of Basic and Applied Sciences, 6(8), 146–165.

Harrison, T., Lee, H., & Neale, J. (2004). The Practice of Supply Chain Management: Where Theory and Application Converge. Springer Science & Business Media, Inc.

Hasan, M. (2013). Sustainable Supply Chain Management Practices and Operational Performance. American Journal of Industrial and Business Management, 03(01), 42–48. https://doi.org/10.4236/ajibm.2013.31006

Hasrulnizzam.W, M., Nizam.M, R., & Deros, B. M. (2011). The Relationship between Manufacturing System Performance and Green Practices in Supply Chain Management. International Journal of Mechanical, Aerospace, Industrial and Mechatronics Engineering, 5(6), 49–53.

Hicks, C., McGovern, T., & Earl, C. . (2000). Supply chain management: A strategic issue in engineer to order manufacturing. International Journal of Production Economics, 65(2), 179–190. https://doi.org/10.1016/S0925-5273(99)00026-2

Ho, R. (2014). Handbook of Univariate and Multivariate Data Analysis with IBM SPSS. CRC Press.

Hofmann, E., Beck, P., & Fuger, E. (2013). The Supply Chain Differentiation Guide.

Immawan, T., Marimin, A., Y., & Maulana, A. (2015). Sustainable Supply Chain Management for Make To Stock-Make To Order Production Typology Case Study: Batik Industry in Solo Indonesia. European Journal of Business and Management, 7(11), 94–106.

Jemutai, K. G. (2014). Green Supply Chain Management Practices and Performance of Firms in Automotive Industry in Naironi, Kenya. University of Naironi, School of Business.

Khidir ElTayeb, T., Zailani, S., & Jayaraman, K. (2010). The examination on the drivers for green purchasing adoption among EMS 14001 certified companies in Malaysia. Journal of Manufacturing Technology Management, 21(2), 206–225. https://doi.org/10.1108/17410381011014378

Kumar, R., & Chandrakar, R. (2012). Overview of Green Supply Chain Management: Operation and Environmental Impact at Different Stages of the Supply Chain. International Journal of Engineering and Advanced Technology (IJEAT, 1(3), 2249–8958.

Lettice, F., Wyatt, C., & Evans, S. (2010). Buyer–supplier partnerships during product design and development in the global automotive sector: Who invests, in what and when? International Journal of Production Economics, 127(2), 309–319. https://doi.org/10.1016/j.ijpe.2009.08.007

Meera, B. L., & Chitramani, D. (2014). Environmental Sustainability through Green Supply chain management practices among Indian Manufacturing Firms with special reference to Tamilnadu. International Journal of Scientific and Research Publications, 4(3), 1–8.

Nunes, B., & Bennett, D. (2010). Green operations initiatives in the automotive industry. Benchmarking: An International Journal, 17(3), 396–420. https://doi.org/10.1108/14635771011049362

Olugu, E. U., Wong, K. Y., & Shaharoun, A. M. (2010). A Comprehensive Approach in Assessing the Performance of an Automobile Closed-Loop Supply Chain. Sustainability, 2(4), 871–889. https://doi.org/10.3390/su2040871

Partridge, A. R. (2010). Green Reverse Logistics Brings Many Happy Returns. http://www.inboundlogistics.com/cms/article/green-reverse-logistics-brings-many-happy-returns/

Preuss, L. (2002). Green light for greener supply. Business Ethics: A European Review, 11(4), 308–317. https://doi.org/10.1111/1467-8608.00290

Qianhan, X., Jing, W., & Rongyan, Z. (2010). Research on Green Supply Chain Management for Manufacturing Enterprises Based on Green SCOR Model. International Conference on Computer and Communication Technologies in Agriculture Engineering, 375–378.

Rao, P., & Holt, D. (2005). Do green supply chains lead to competitiveness and economic performance? International Journal of Operations & Production Management, 25(9), 898–916. https://doi.org/10.1108/01443570510613956

Rathmann, C. (2011). ERP Solutions in the Green Supply Chain and Multi-Mode Manufacturing. IFS.

Rodrigue, J.-P., Slack, B., & Comtois, C. (2008). Green Logistics (pp. 339–350). https://doi.org/10.1108/9780080435930-021

Rogers, D., & Tibben-Lembke, R. (1999). Going backwards: Reverse logistics trend and practices. In Reverse Logistics Executive Council.

Rozar, N. M., Mahmood, W. H. W., Ibrahim, A., & Razik, M. A. (2015). A Study of Success Factors in Green Supply Chain Management in Manufacturing Industries in Malaysia. Journal of Economics, Business and Management, 3(2), 287–291. https://doi.org/10.7763/JOEBM.2015.V3.196

Sarkar, A., & Mohapatra, P. K. J. (2006). Evaluation of supplier capability and performance: A method for supply base reduction. Journal of Purchasing and Supply Management, 12(3), 148–163. https://doi.org/10.1016/j.pursup.2006.08.003

Shang, K.-C., Lu, C.-S., & Li, S. (2010). A taxonomy of green supply chain management capability among electronics-related manufacturing firms in Taiwan. Journal of Environmental Management, 91(5), 1218–1226. https://doi.org/10.1016/j.jenvman.2010.01.016

Shapiro, S., & Wilk, M. (1965). An analysis of variance test for normality (complete samples. Biometrika, 5(2), 591–611.

Weybrecht, G. (2014). The Sustainable MBA: A Business Guide to Sustainability. John Wiley & Sons, Ltd.

Yan, L., & Xia, L. H. (2011). Study on performance measurement for green supply chain management. 2011 IEEE International Conference on Cyber Technology in Automation, Control, and Intelligent Systems, 293–297. https://doi.org/10.1109/CYBER.2011.6011812

Yongan, Z., & Menghan, L. (2011). Research on Green Supply Chain Design for Automotive Industry Based on Green SCOR Model. 2011 International Conference on Information Management, Innovation Management and Industrial Engineering, 549–552. https://doi.org/10.1109/ICIII.2011.277

Zhu, Q., Geng, Y., Fujita, T., & Hashimoto, S. (2010). Green supply chain management in leading manufacturers. Management Research Review, 33(4), 380–392. https://doi.org/10.1108/01409171011030471

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. https://doi.org/10.1016/j.pursup.2012.12.001

Zsidisin, G. A., & Hendrick, T. E. (1998). Purchasing’s involvement in environmental issues: a multi‐country perspective. Industrial Management & Data Systems, 98(7), 313–320. https://doi.org/10.1108/02635579810241773

Downloads

Published

2024-09-30

How to Cite

Hun, C. M., Bon, A. T., & Sukoco, A. (2024). Green Supply Chain Model for Japanese Automotive Industry in Malaysia Using Level 2 SCOR. International Journal of Global Optimization and Its Application, 3(3), 171–187. https://doi.org/10.56225/ijgoia.v3i3.436

Similar Articles

<< < 1 2 3 4 5 6 > >> 

You may also start an advanced similarity search for this article.