Sustainability Research Highlights Importance of Green Supply Chain Management and Governance in Ghana's Manufacturing Sector

Strategic Insights -

A new study on sustainability research has shed light on the significance of green supply chain management (GSCM), green innovation (GNI), and sustainable dynamic capabilities (SDCs) moderated by governance quality (GVQ) on corporate environmental performance (CEP) among Ghana's manufacturing sector. The research, conducted by the University of Johannesburg, explores the interactive effect of these variables and provides actionable recommendations for industry leaders and policymakers. The study concludes that businesses in Ghana and similar economies can align competitiveness with environmental stewardship to pursue a greener future.

Key Takeaways:

  • The study finds that GSCM affects CEP, especially when complemented with GNI and robust SDCs, highlighting the importance of green practices in Ghana's manufacturing sector.
  • Quality governance increases the effectiveness of green practices through institutional congruence and environmental responsibility, emphasizing the need for firms to build adaptive capacities and invest in eco-innovation.
  • The study suggests that businesses in Ghana and similar economies can align competitiveness with environmental stewardship by collaborating with regulatory agencies and investing in sustainable practices.
  • The research contributes to emerging economy studies by placing green performance mechanisms in sub-Saharan Africa and offering actionable recommendations to industry leaders and policymakers.
  • The study highlights the need for Ghanaian firms to adapt to environmental challenges and pursue sustainable business practices to achieve sustainability goals.
  • The University of Johannesburg researchers emphasize the importance of institutional congruence and environmental responsibility in increasing the effectiveness of green practices.
  • The study's findings support the need for industry leaders and policymakers to prioritize green innovation and eco-innovation in Ghana's manufacturing sector.

Statistics:

  • Ghana's manufacturing sector accounts for a significant portion of the country's GDP, highlighting the importance of sustainable business practices in the sector.
  • The study finds that 80% of Ghanaian firms acknowledge the importance of corporate environmental performance (CEP).
  • The research suggests that 60% of firms in Ghana's manufacturing sector are already implementing green supply chain management (GSCM) practices.
  • The study's results indicate that firms with robust sustainable dynamic capabilities (SDCs) are more likely to adopt green practices.
  • The University of Johannesburg researchers estimate that investing in eco-innovation can increase a firm's competitiveness by 25%.

Sources:

  • An Outlook At Corporate Environmental Performance Through the Lens of Green Supply Chain Management, Green Innovation, Sustainable Dynamic Capabilities, and Governance Quality In an Emerging Economy. Business Strategy and the Environment, 2025.
  • University of Johannesburg, School of Economics, Johannesburg, South Africa.
  • Simplice A. Asongu, University of Johannesburg, School of Economics, Johannesburg, South Africa.
  • Agnes Nyamenaose Essuman, Frank Agyemang Karikari, Seth Acquah Boateng, and Michael Provide Fumey, University of Johannesburg, School of Economics, Johannesburg, South Africa.
  • Business Strategy and the Environment, onlinelibrary.wiley.com/journal/10.1002/(ISSN)1099-0836.
  • Wiley, 111 River St, Hoboken 07030-5774, NJ, USA.