Applying fuzzy interpretive structural modeling to evaluate responsible consumption and production under uncertainty
| DOI | https://doi.org/10.1108/IMDS-03-2017-0109 |
| Published date | 12 March 2018 |
| Pages | 432-462 |
| Date | 12 March 2018 |
| Author | Liang Wang,Li Ma,Kuo-Jui Wu,Anthony S.F. Chiu,Sarayut Nathaphan |
| Subject Matter | Information & knowledge management,Information systems,Data management systems,Knowledge management,Knowledge sharing,Management science & operations,Supply chain management,Supply chain information systems,Logistics,Quality management/systems |
Applying fuzzy interpretive
structural modeling to evaluate
responsible consumption and
production under uncertainty
Liang Wang
Department of Construction Management, Dalian University of Technology,
Dalian, China
Li Ma and Kuo-Jui Wu
School of Business, Dalian University of Technology, Panjin, China
Anthony S.F. Chiu
Industrial Engineering Department, De La S alle University, Manila, Philippines, and
Sarayut Nathaphan
International College, Mahidol University, Salaya, Thailand
Abstract
Purpose –The purpose of this paper is to adopt fuzzy interpretive structural modeling (ISM) to develop a
precise evaluation framework and provide a theoretical basis for enhancing the understanding of responsible
consumption and production (RCP) in academic and industrial fields.
Design/methodology/approach –An integration of fuzzy set theory and ISM is proposed to maintain a
higher level of consistency and reduce the uncertainty inherent in expert responses.
Findings –RCP can be categorized into seven levels, which represent the driving power from higher to
lower. The top aspect is management style; the remaining aspects are stakeholder management, regulation
compliance, efficiency improvement, sustainable awareness, sustainable production and social responsibility.
Research limitations/implications –This study attempts to integrate the triple bottom line (TBL) concept
and corporate sustainability to develop a significant framework for evaluating RCP. Although the proposed aspects
and criteria can be used to evaluate the Chinese constructionindustry, these may be insufficient for other industries.
In addition, further discussion regarding important aspects and criteria is required to complete the theoretical basis.
Practical implications –The results indicate that the top two criteria are establishing transparent
communication channels and promoting managerial attitudes and behavior, which are followed by
technology capabilities, organizational culture and stakeholder engagement. These five criteria play
important roles when implementing RCP practices among Chinese construction firms.
Originality/value –This studyis the first to discuss RCP via an integrationof the TBL concept andcorporate
sustainability.The framework developed hereinprovides a precise guideline forChinese construction firms to
improve their performance, and it also promotes the efficient useof resources via sustainable practices.
Keywords Corporate sustainability, Triple bottom line, Fuzzy interpretive structural modeling,
Responsible consumption and production
Paper type Research paper
1. Introduction
The Chinese construction industry is striving to develop more sustainable practices to
comply with international standards and government regulations. However, several barriers
are observed in the current market, such as the rapid decline in industry growth, increasing
Industrial Management & Data
Systems
Vol. 118 No. 2, 2018
pp. 432-462
© Emerald PublishingLimited
0263-5577
DOI 10.1108/IMDS-03-2017-0109
Received 21 March 2017
Revised 12 May 2017
Accepted 23 May 2017
The current issue and full text archive of this journal is available on Emerald Insight at:
www.emeraldinsight.com/0263-5577.htm
The authors would like to express their deep appreciation to the Liaoning Association for Science and
Technology Project (LNKX2016C17), National Natural Science Foundation of China (71701029),
Liaoning Academy of Social Sciences Fund (L17BGL019), the National Social Science Funding
Program (15BGL023) and the Dalian University of Technology Fundamental Research Fund
(DUT16RC(3)038) for supporting this study.
432
IMDS
118,2
labor costs, intensive competition, contractor payment delays, high risk during the
constructing period, strict government regulations, etc. These barriers impede firms from
pursuing sustainability, especially if they have to pay the additional cost of launching
sustainable development (Tan et al., 2015). In addition, the Chinese construction industry is
associated with high resource consumption and low value-added activity, which generates a
conflict between industry and public expectations (Lai et al., 2016). Although construction
firms have focused on managing this conflict, it persists in the Chinese construction market
because of the lack of an appropriate and effective method of resolution. Thus, this study
proposes a novel concept called responsible consumption and production (RCP) to assist
firms in performing comprehensive evaluations. This novel concept enables leading firms to
follow precise guidelines for managing natural resource depletion, complying with public
expectations, reducing environmental impacts and promoting long-term competitive
advantages (Govindan et al., 2013; Tomšičet al., 2015; Wu et al., 2016).
Furthermore, the Chinese Government declared the “Thirteen Five Project[1]”to
encourage firms to launch sustainable development, explore renewable energy, reduce
environmental impacts, promote social responsibility, etc.; thus, firms require precise
guidelines to enable them to simultaneously consider the economic, environmental, social
aspects of sustainability. To solve this multi-faceted problem, this study adopts the concepts
of triple bottom line (TBL) and corporate sustainability to structure the theoretical basis of
RCP. Carter and Rogers (2008) introduced the TBL concept, which includes environmental,
social and economic considerations, for firms to achieve long-term economic viability and
sustainability. Tseng (2016) presented the idea of corporate sustainability for meeting the
needs of the present without compromising the ability of future generations to address their
own needs. According to corporate sustainability concepts, an extended understanding of
RCP can be defined as “meeting customer needs and expectations, and allowing for
production and development that considers economic, environmental and social aspects
without generating any risk to threaten the sustainability of future generations.”
Although previous studies have discussed the TBL and corporate sustainability
concepts in diverse fields (Nikolaou et al., 2013; Dočekalová and Kocmanová, 2016;
Maas et al., 2016a, b), studies combining these two concepts under a theory that
provides for a comprehensive consideration and precise framework for implementation
are lacking. Moreover, Wu et al. (2016) indicated that economic, environmental and
social aspects cannot sufficiently cover all sustainability considerations. Similarly,
if firms do not consider cooperative sustainability, then management uncertainty and risk
may be generated when handling conflicts among stakeholders (Garcia et al., 2016).
Consequently, an essential need remains to introduce RCP to assist firms in performing
comprehensive evaluations for developing sustainability. To satisfy this requirement,
this study adopts fuzzy interpretive structural modeling ( FISM) to explore the
development of this framework by simultaneously considering the concepts of TBL and
corporate sustainability. FISM not only supports the transference of experts’linguistic
preferences into quantitative measurements and reduces the items on the questionnaire
to enhance its consistency and reliability, but also structures the framework as a
guideline for firms.
Hence, the objectives of this studyinclude enhancing the understanding of and providinga
theoretical basis for developing the theory; exploring a precise framework as a guideline for
directing firms in launching RCP toward sustainability; and proposing a modified FISM
method to reduce questionnaire items and enable an increase in the consistency of experts’
judgments. These objectives will support the long-term competitiveness and promote higher
reputations among the Chinese construction industry, which help overcome current barriers.
Further discussion is provided in the followingsections. Section 2 includes a literature review
of the theoretical background and descriptions of previously reported methods and the
433
Applying fuzzy
interpretive
structural
modeling
To continue reading
Request your trial