Integrating green human resource management and circular economy to enhance sustainable performance: an empirical study from the Qatari service sector
| DOI | https://doi.org/10.1108/ER-01-2022-0041 |
| Published date | 13 December 2022 |
| Date | 13 December 2022 |
| Pages | 535-563 |
| Subject Matter | HR & organizational behaviour,Industrial/labour relations,Employment law |
| Author | Shatha M. Obeidat,Shahira Abdalla,Anas Abdel Karim Al Bakri |
Integrating green human resource
management and circular
economy to enhance sustainable
performance: an empirical study
from the Qatari service sector
Shatha M. Obeidat
College of Business and Economics, Qatar University, Doha, Qatar
Shahira Abdalla
Faculty of Business, Higher Colleges of Technology,
Fujairah, United Arab Emirates, and
Anas Abdel Karim Al Bakri
College of Business and Economics, Qatar University, Doha, Qatar
Abstract
Purpose –This study aims to contribute to the current Green human resource management (HRM) field by
providing an empirical examination of a comprehensive model that tests the effect of green strategic intent on
Green HRM implementation, the possible effect of Green HRM and green empowerment on circular economy,
and the effect of circular economy on sustainable performance. It examines the mediating effect of circular
economy on the link between Green HRM and sustainable performance.
Design/methodology/approach –The study is empirical in nature. It focuses on the service sector in Qatar.
Managers that work in the service sector represent the study participants. 149 questionnaires were collected
and 131 completed questionnaires were used in the analysis. An advanced Partial Least Squares Structural
Equation Modeling (SEM-PLS) analysis was conducted to reveal the study results.
Findings –The study findings confirmed the positive effect of green strategic intent on Green HRM, the
positive link between Green HRM and green empowerment on circular economy, and the positive relationship
between circular economy and sustainable performance. It also confirms the indirect effect of circular economy
on the link between green HRM and sustainable performance.
Research limitations/implications –Because of the chosenresearch approach and the focus on the service
sector in Qatar only, research results may lack generalizability.
Practical implications –This study provides important implications for practice on how to improve Green
HRM practices; particularly for its unique context, the Qatari service sector.
Originality/value –This study is considered original since it is one of the few to examine a conceptual
framework that links Green HRM, circular economy and sustainable performance.
Keywords Green HRM, Circular economy, Sustainable performance, Green empowerment, Strategic
intent, Qatar
Paper type Research paper
Introduction
There has been extensive concerns about environmental issues worldwide. Environmental
protection has become a priority in many organizations. Consequently, they increased their
emphasis on adopting sustainable practices in order to facilitate the transition towards
circular economy. Circular economy is defined as an economic system that is designed to
substitute the “end-of-life”notion while emphasizing the renewable sources of energy and
reducing, reusing, recycling and recovering materials in the production/distribution and
consumption process (Marrucci et al., 2021), with the aim of accomplishing sustainable
Integrating
green HRM
and circular
economy
535
The current issue and full text archive of this journal is available on Emerald Insight at:
https://www.emerald.com/insight/0142-5455.htm
Received 27 January 2022
Revised 20 September 2022
11 October 2022
Accepted 22 November 2022
Employee Relations: The
International Journal
Vol. 45 No. 2, 2023
pp. 535-563
© Emerald Publishing Limited
0142-5455
DOI 10.1108/ER-01-2022-0041
development, by creating environmental quality, economic prosperity and social equity, to
the benefit of current and future generations (Marrucci et al., 2019). Circular economy creates
value in the consumption and production process through discarded waste materials.
Particularly, the circular economy system is seen to emphasize three main values related to
the design out of waste, the continuing use of goods and the revival of natural systems
(Macarthur, 2013). Previous literature has concluded that the main objective of circular
economy is to achieve economic prosperity and environmental quality (Harris et al., 2020).
Moreover, Lazarevic and Valve (2017) conclude that circular economy aims to maintain the
circulation of resources within the economy while reducing the impact of extraction,
emissions and disposal of Earth`s resources. Circular economy systems appear in three
different levels: the micro (product), meso (eco-industrial) and macro (national or regional)
levels (Saidani et al., 2019).
The concept of circular economy has gained much attention in many business and
management fields of study such as strategic management (Ferasso et al., 2020) sustainability
(Tantau et al., 2018), supply chain management (Genovese et al., 2017;Daddi et al., 2021) and
economics (Razminiene, 2019). Recently, there has been a rise in Green human resource
management (Green HRM) research of exploring its link with a circular economy system
(Jabbour et al., 2019). At the same time, scholars are supporting this trend with constant focus
on improving sustainable performance through incorporating green management (including
Green HRM) to improve the transition toward circular economy with the ultimate goal of
improving sustainable performance. In addition, green empowerment plays a significant role
in providing employees with opportunities to participate in environmental management,
which stimulates them to direct their attitudes and behaviors toward supporting the
prevention of pollution and recognizing environmental opportunities (Renwick et al., 2013).
Sustainable performance, which integrates economic, social and environmental dimensions,
has become an important organizational performance measure and an ultimate goal for
organizations today seeking excellence in performance achievement. The environmental
dimension involves the initiatives and responsibilities undertaken by an organization
supporting a greener planet. The social dimension comprises the organization’s actions and
efforts for the well-being of its people. Finally, the economic dimension focuses on
maximizing profit, with minimum raw materials, inventory management and a reduction of
production costs (Bhattacharya et al., 2019).
A recent work by Jabbour et al. (2019) suggested a framework for integrating Green HRM
with circular economy business models which encapsulates the human side of circular
economy models. According to this framework, Green HRM (including recruitment and
selection, training, performance management and compensation) are aligned with other green
HRM organizational enablers (including green empowerment) to form a green organizational
strategy to enable a circular economy system. According to authors, these models represent
an opportunity for organizations to enhance sustainable performance (including economic,
social and environmental performance). The integrative framework suggests that Green
HRM practices positively affect the development of circular economy within organizations.
Accordingly, they invited future research to provide insights into which Green HRM
practices are oriented towards circular economy and on how the integration between both
concepts are related to organizational performance. Okorie et al. (2018) indicated that research
on circular economy is on the rise; however, the view that Green HRM can be linked to circular
economy as possible antecedent is still comparatively untouched. This intersection between
Green HRM and circular economy has not received a fair share of attention in the extant
literature, specifically in nonwestern countries. Hence, this study intends to address this
knowledge gap.
The significance of this research is reflected in its contributions to the body of literature in
the field of Green HRM and circular economy by addressing limitations of previous studies,
ER
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536
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