Background: Sustainable Supply Chain Performance Measurement (SSCPM) and management are pivotal processes for any organisation to ensure the attainment of strategic intent. Large enterprises have been successful with the implementation of SSCPM. One of the reasons is that their motives and attitudes are consistent with SSCPM that yield sustainable returns. First, large companies usually have shareholders who are not the management of these companies. This means the management of the company is held accountable for adopting practices that create sustainable shareholder value. As such, management's attitudes to issues such as SSCPM tend to be positive because of the implications on the bottom-line of the firm. Consequently, management's behaviour is one of quick and comprehensive adoption of any practices that support the creation of sustainable shareholder value, and that includes SSCPM. Second, large companies tend to be in the spotlight when it comes to anything that can go wrong. Finally, these companies are also under pressure from their global suppliers and customers, who may want SSCPMs to be embedded in their operations as a condition for doing business with them. We can therefore conclude that there are three aspects associated with the adoption of SSCPM by large companies, namely motivation, attitude, and behaviour. What is not clear is whether the same aspects of motivation, attitude and behaviours operate in Small and Medium Enterprises (SMEs). This study focuses on three types of SMEs, namely necessity, opportunity, and legacy, as they relate to motives. Given the differences in ownership, management, and scope of operations between large companies and SMEs, do motives, attitudes and behavioural variables operate within SMEs in the context of the adoption of SSCPM? We do not seem to have enough research to answer this question. Therefore, this study seeks to understand how entrepreneurial motivation, attitude, and behaviour influence SSCPM in manufacturing SMEs. Moreover, SMEs, particularly in developing contexts, are still lagging behind with sustainability integration in their Supply Chain Management (SCM). While much is said about SMEs, there is less concern for integrated systems, SCM practices and their future. There is a dearth of research on how entrepreneurial motives, attitudes and behaviour influence these performance measurements by SMEs. Methodology: The researcher's purpose in this study was to observe reality as it existed to maintain an objectivity which is devoid of value judgements. This objectivity resonates with the researcher's philosophical view which lends itself to a functionalist paradigm. Quantitative data were collected through a survey of manufacturing SMEs on entrepreneurial motives, attitudes, and behaviour towards SSCPM. The survey was directly administered to approximately 566 manufacturing SMEs, of which 211 completed questionnaires were received. The data were analysed through Partial Least Square-structural Equation Modelling (PLS-SEM). Results: Opportunity-motivated entrepreneurs depict a positive attitude towards the adoption and implementation of SSCPM in their SCM. These SMEs are formed and run by professionals and experienced individuals who desire to grow their businesses. Legacy-motivated entrepreneurs do not show any attitudinal disposition towards SSCPM. As they are familyowned and run businesses that span many generations, legacy-entrepreneurs are likely to adopt the inherited culture in their practices. Necessity-entrepreneurs have a positive attitude towards SSCPM with a predominant focus on economic sustainability. They are mostly pushed into business by the need to survive and this makes them focus mostly on that which enables them to generate revenue while avoiding anything that entails having to invest in other areas. For instance, necessity-motivated entrepreneurs have a negative attitude towards environmental and social sustainability. The only time they begin to embrace it is when there are other forces around such as institutional pressures or resources that will directly affect their attitude towards SSCPM. The results reveal that institutional isomorphic patterns and resources impact in varying degrees on the SMEs' adoption and implementation of SSCPM. Government policies or coercive isomorphic pressures are generally weak about enforcing SSCPM at SMEs. For instance, limited resources hinder SMEs' willingness and ability to adopt and implement SSCPM practices in line with government policies. Limited resources therefore make the impact of government policies on the adoption and implementation of SSCPM at SMEs ineffective. The results showed that normative isomorphic pressures were major enablers of the adoption and implementation of SSCPM at SMEs. These normative pressures were mostly inflicted by large corporate customers who demanded that SMEs complied with sustainable sourcing and production. Mimetic isomorphic pressures come into play because of the need for all SMEs to attain economic sustainability. Resources are a major enabler for the adoption of environmental and social SSCPM while both the institution and resources shape the attitude of SMEs in a significant way towards sustainable developments. Lack of resources leads to a negative attitude to sustainability endeavours. Theoretical contribution: The study has contributed to sustainability literature, the interface among entrepreneurial motives, attitudes, and behaviour linkages with SSCPM. To the best of the researcher's knowledge this perspective has not been explored in either SCM or Sustainable Supply Chain Management (SSCM). Many frameworks in SCM focus on the Triple Bottom Line (TBL) from a measurement perspective. The framework created in this study interfaces SSCM with entrepreneurial motives, attitudes and behaviour in the adoption of SSCPM at manufacturing SMEs. It further places the application of theory (Institutional and Resource Based View Theories) in a new empirical situation; more importantly, confirming the inability of coercive pressures to be placed on the adoption of environmental and social sustainability while re-enforcing the impact of normative pressures on the uptake of SSCPM. The SMEs' entrepreneurial attitude towards environmental and social sustainability is predominantly negative without institutional isomorphic pressures and the direct impact of resources on their attitude towards SSCPM. The analysis methodology adopted in this study reveals the shortcomings of Cronbach Alpha, which is rarely, if not always, silent in the social sciences. Cronbach Alpha does not only measure internal reliability, but it is also a test of length. If Cronbach is used to test internal consistency where the items are few, the tau-equivalence is immediately violated and that decreases reliability. However, if the number of items in a scale are more, reliability increases. Researchers in the social sciences, particularly SCM researchers, ought to know about this revelation. Practical Implications: These results will assist governments to find strategies to support entrepreneurs that are intrinsically motivated towards adopting sustainable integration practices. Governments may also embark on a customer awareness programme to enforce the taking up of sustainability practices in organisations while also exerting pressure on entrepreneurs who exhibit a negative attitude towards SSCPM. This strategy will go a long way towards adopting sustainable integration practices. Normative pressures from large customers have been identified as major players in enforcing SSCM at manufacturing SMEs. Big corporations may partner with SME suppliers to assist and guide them through compliance and taking the necessary steps to achieve sustainability integration. Collaboration among SMEs may help mitigate resource constraints to adopting sustainability practices as this may enable collaborative efforts in assisting themselves to reach their SSCM goals. Practitioners may also provide training and development programmes on SSCM for manufacturing SMEs. These training programmes should be conducted at no cost (through government funding) with manufacturing SMEs to achieve a wider impact on sustainability advancement. SMEs are central to economic growth, hence providing support, mentoring, and coaching on SSCPM which may go a long way towards strengthening the sector. Government may fund special projects that address SDG 12 and bring about collaboration between international and local buyers to guide the process in these SMEs. This research provides a platform for SME development and the enhancement of the community. SMEs may engage with community activists and NGOs on how to create sustainable relationships that last longer than expected. Development communities ranging from the United States Agency for International Development (USAID), the World Bank and African Growth and Opportunity Act (AGOA), among others, may form partnerships with developing countries' governments specifically to address SSCM at manufacturing SMEs. For instance, AGOA may extend primary access to United States' (US) markets by adding sustainability support on export apparel to manufacturing firms in listed countries. The World Bank could direct resource support with clear accountability measures to developing countries on manufacturing SSCM-integration, while USAID may have ambassadors/directors in various countries to oversee its dedicated support for sustainable production in the developing contexts.
| Identifer | oai:union.ndltd.org:netd.ac.za/oai:union.ndltd.org:uct/oai:localhost:11427/38508 |
| Date | 11 September 2023 |
| Creators | Matsoso, Mamorena |
| Contributors | Chivaka, Richard, Samuelsson Mikael |
| Publisher | Faculty of Commerce, Graduate School of Business (GSB) |
| Source Sets | South African National ETD Portal |
| Language | English |
| Detected Language | English |
| Type | Doctoral Thesis, Doctoral, PhD |
| Format | application/pdf |
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